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Report Underscores Success of Merit Pay

In Rhode Island, teachers are paid not on the basis of their ability in the classroom, or their demonstrated performance in raising student achievement. Instead, teachers are compensated based solely on their years of service in the job (i.e. seniority). The system typically employs 10 “steps,” with pay hikes for each step. Teachers climb up the steps simply by sticking around. Mediocre teachers are paid the same as the teacher of the year, or even more if they have greater seniority!

In contrast, so-called “Pay for Performance” or “Merit Pay” systems would consider a teacher’s ability to raise student achievement (as demonstrated by quantifiable measures of student academic growth) as a key factor in compensation, alongside other factors such as seniority. Today in Rhode Island, no public schools use any sort of “Merit Pay” system. Yet a recent evaluation of a teacher pay-for-performance program in Arkansas found that such as system produces significant gains in student performance. The full report is available here.

Despite strong opposition from the NEA, successful schools should reward great teachers who perform well in the classroom with increased compensation, just as the private sector rewards other professionals with increased pay, responsibility, recognition and promotion based on their demonstrated abilities in their respective fields. Democratic Presidential front-runner Barack Obama is just one of many who has endorsed the concept.

Further, the “pay for performance” policy should apply not only to compensation, but also to teacher assignment. At Classical High School in Providence, an especially gifted teacher was recognized with a “Teacher of the Year” award, but was subsequently “bumped” out of his job (laid off) by another teacher with more seniority. The more senior teacher was less effective in the classroom but had been on the job for more years. How is a system that organizes compensation and teacher assignment solely around longevity of service and with no consideration given to performance in the classroom in the best interests of kids?


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