merited pay

A simple solution for solving teacher shortages: pay incentives for hard-to-find educators

PHOTO: Tajuana Cheshier

Policymakers across the country have fretted about a new wave of potential teacher shortages, particularly in certain subjects and schools. Now a new study offers a straightforward solution: give bonuses or provide loan forgiveness to teachers in positions that are hard to staff.

This conclusion, reached in research recently published in the Journal of Policy Analysis and Management, is perhaps unsurprising, but it’s an approach that apparently few districts have adopted.

The peer-reviewed study, conducted by Li Feng and Tim Sass, focuses on Florida, which put in place student loan forgiveness and bonus programs in order to retain teachers and prevent shortages. Beginning in the 1980s, teachers in identified shortage areas — most frequently in math, science, foreign language, and special education — could receive up to $10,000 over four years to repay loans. The state also offered a one-time retention bonus of up to $1,200 for teachers with satisfactory performance ratings in shortage subjects during the 2000–2001 school year.

To isolate the effects of the initiatives, the researchers use data from 1995 through 2013 to examine retention among teachers who were eligible for bonuses or loan forgiveness versus those who were ineligible. In short, the programs seemed to make a difference.

“We find that loan forgiveness and targeted bonuses can both substantially reduce teacher attrition in high-need areas, although bonuses appear to have a larger impact in the short run,” Feng and Sass write. “Both loan forgiveness and bonuses appear to be cost-effective policies.”

The loan forgiveness program reduced teachers’ likelihood of quitting by about 10 percent annually. The impacts were even larger for the one-time bonus program, cutting teacher turnover by nearly a third in the year it was implemented. That means the chance teachers quit after their first year fell from 17 percent to roughly 11 percent if they received a bonus or to about 15.3 percent if they were eligible for a loan subsidy. 

“A one-time bonus of $1,200 reduced teacher attrition more than loan repayments of comparable magnitude,” the study concludes.

Did the retention efforts keep quality teachers? It’s hard to say definitively, but the researchers were able to measure the effectiveness of middle school and high school math and certain special education teachers. Generally, loan recipients were as good or better than teachers who didn’t participate in the program.

The programs may also have been beneficial because teachers generally improve with experience and it can be expensive to recruit new teachers. The bonuses and loan forgiveness of course did cost money — the loan subsidies amounted to about $3 million annually and the retention bonuses cost $60 million — but the researchers estimate that they were worth the price, particularly the one-time bonus.

A few important caveats: the study focuses on fairly old programs, and it doesn’t examine their longer-run impacts after the financial incentives ended.

“The bonus may have induced teachers to stay in the public school system an additional year, but may not have significantly affected long-run career plans,” the researchers write.

The effectiveness of the program also varied somewhat by subject area and payment size. For example, effects were significant for special education teachers only when loan forgiveness amounts were relatively large, about $2,500.

Still, the study cuts against the idea that money can’t itself incentivize teachers to stay in the classroom, showing that even relatively modest increases in pay can make a difference.

This dovetails with other literature showing that pay really does matter for who enters and stays in teaching. Another recent study found that districts with performance pay recruited more teachers from academically high-achieving colleges. Other research has found that hard-to-staff and performance bonuses can increase retention rates, and that higher across-the-board pay can draw more people into the profession and get them to stay.

But policymakers don’t seem to be heeding these findings.

According to federal statistics, as of the 2011–12 school year, only about 13 percent of school districts used pay incentives to attract and retain teachers in shortage areas. Meanwhile, overall teacher pay has fallen relative to other professions. And what about Florida, where we now know the loan forgiveness program was effective?

The state legislature terminated the initiative in 2011.

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surprise!

Teachers in Millington and Knoxville just won the Oscar awards of education

PHOTO: Milken Family Foundation
Millington English teacher Katherine Watkins reacts after learning that she is the recipient of a 2017 Milken Educator Award.

Two Tennessee teachers were surprised during school assemblies Thursday with a prestigious national teaching award, $25,000 checks, and a visit from the state’s education chief.

Katherine Watkins teaches high school English in Millington Municipal Schools in Shelby County. She serves as the English department chair and professional learning community coordinator at Millington Central High School. She is also a trained jazz pianist, published poet, and STEM teacher by summer.

PHOTO: Milken Family Foundation
Paula Franklin learns she is among the recipients.

Paula Franklin teaches Advanced Placement government at West High School in Knoxville. Since she took on the course, its enrollment has doubled, and 82 percent of her students pass with an average score that exceeds the national average.

The teachers are two of 45 educators being honored nationally with this year’s Milken Educator Awards from the Milken Family Foundation. The award includes a no-strings-attached check for $25,000.

“It is an honor to celebrate two exceptional Tennessee educators today on each end of the state,” said Education Commissioner Candice McQueen, who attended each assembly. “Paula Franklin and Katherine Watkins should be proud of the work they have done to build positive relationships with students and prepare them with the knowledge and skills to be successful in college and the workforce.”

Foundation chairman Lowell Milken was present to present the awards, which have been given to thousands of teachers since 1987.

PHOTO: Milken Family Foundation
Students gather around Millington teacher Katherine Watkins as she receives a check as part of her Milken Educator Award.

The Milken awards process starts with recommendations from sources that the foundation won’t identify. Names are then reviewed by committees appointed by state departments of education, and their recommendations are vetted by the foundation, which picks the winners.

Last year, Chattanooga elementary school teacher Katie Baker was Tennessee’s sole winner.

In all, 66 Tennessee educators have been recognized by the Milken Foundation and received a total of $1.6 million since the program began in the state in 1992.

You can learn more about the Milken Educator Awards here.

Colorado Vote 2018

Polis campaign releases education plan, including new promise about teacher raises

Congressman Jared Polis meets with teachers, parents and students at the Academy of Urban Learning in Denver after announcing his gubernatorial campaign. (Photo by Nic Garcia/Chalkbeat)

Congressman Jared Polis, one of several Democrats running for governor, released an education plan for the state Wednesday that includes new details on tackling teacher shortages and better preparing high school students for work.

The Boulder Democrat wants to help school districts build affordable housing for teachers, increase teacher pay and make sure that “100 percent of Colorado’s school districts are able to offer dual and concurrent enrollment programs through an associate’s degree or professional certification, and work to boost enrollment in them.”

The education plan includes the congressman’s initial campaign promise to deliver free and universal preschool and kindergarten.

“Part of my frustration is that politicians have been talking about preschool and kindergarten for decades,” Polis said in an interview with Chalkbeat. “It’s time to stop talking … and actually do it.”

Big questions remain, however, about how Colorado would pay for Polis’s plans.

Free universal preschool and kindergarten would cost hundreds of millions of tax dollars the state does not have. Polis has acknowledged that voters will need to approve a tax increase to secure the funding necessary — and voters rejected Colorado’s last big statewide ask to fund education initiatives.

His additional promises, especially providing schools with more money to pay teachers, only adds to the price tag for his education plan. The campaign did not release any projections of how much his teacher pay raise proposal would cost.

“If a teacher can’t afford to live in the community they work in, that is not going to be an attractive profession,” he said. “We need to do a better job in Colorado making sure teachers are rewarded for their hard work.”

Other components to Polis’s plan includes providing student loan relief for teachers who commit to serving in high-need and rural areas, increasing teacher training and building and renovating more.

Polis is the latest Democrat to roll out an education platform.

Former state Sen. Michael Johnston released more details earlier this week about his campaign promise for tuition-free community college and job training.

Johnston’s campaign estimates that the initiative would cost about $47 million annually. The campaign provided specifics on how the state would pay for it: by combining existing federal grants and state scholarships, revenue from online sales tax, and state workforce development funding. Savings from volunteer hours put in by tuition recipients also are factored in.

Former state Treasurer Cary Kennedy released her education plan last month.

Like Polis, Kennedy is calling for teacher raises. She wants the state’s average salary to be closer to the national average. The former state treasurer also wants to expand preschool and job training for high school students. A key piece of Kennedy’s proposal to pay for her initiatives: reforming the state’s tax laws to generate more revenue.

Other Democrats running to replace Gov. John Hickenlooper, who is term-limited, include Lt. Gov. Donna Lynne and businessman Noel Ginsburg.

The Republican field to replace Hickenlooper, a Democrat, is also crowded. Attorney General Cynthia Coffman announced earlier this month that she’s running. Other leading Republican candidates include former Congressman Tom Tancredo, state Treasurer Walker Stapleton, and businessmen Doug Robinson and Victor Mitchell. George Brauchler, district attorney for the 18th Judicial District, dropped out of the race to instead run for attorney general.