TEACHER COMPENSATION. MEQUON-THIENSVILLE SCHOOL DISTRICT November 2012

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1 TEACHER COMPENSATION MEQUON-THIENSVILLE SCHOOL DISTRICT November 2012

2 Teacher Compensation Objectives Basic Overview - Structure and Financing Pre Act 10 and Post Act 10 Compensation Components Direction for

3 Teacher Compensation Systems in" Wisconsin Pre Act 10 In the past, teacher salaries and salary increases were determined by five things o Initial placement on a salary matrix. o Pay increases for years of services. o Pay increases for educational advancement and sometimes for completion of PDP under PI 34. o Negotiated changes (increases) to the salary matrix. o Extra Duty/Additional Assignment Pay

4 Mequon-Thiensville School District" Salary Schedule BA BA+10 BA+20 BA+30 BA+40 BA+50 MA MA+10 MA+20 MA+30 MA+40 MA+50 Step Step Step Step Step Step Step Step Step Step Step Step Step *Current Salary Schedule Pending Negotiations.

5 Teacher Compensation Systems in" Wisconsin Pre Act 10 Benefits of salary schedule structure o Less work. o Structure Fewer legal challenges. o Staff is comfortable with status quo.

6 Teacher Compensation Systems Pre Act 10 All staff had opportunity to earn the same salary over a period of time. All teaching positions valued same. Model is not financially sustainable. Model not politically acceptable.

7 Teacher Compensation Systems in" Wisconsin Post Act 10 Possible components of new teacher compensation systems may address four key components: o Knowledge and Skills o District credits, certifications, advanced degrees, National Board Certification, team/ department leader, mentor/peer coach. o Professional Evaluation o Developing Educator/Initial Educator; Effective Teacher; Exemplary Teacher o Market Incentives o Hard to Staff Assignments; Hard to Staff School; Exemplary Teacher o Student Learning Objectives

8 Teacher Compensation Systems in" Wisconsin Post Act 10 Other considerations.... o What are the objectives? o Focus on compensation system to retain and attract high performing staff. o What are the demographics? o Veteran staff versus new staff. o Can we support this system? o Complexity o Withstands legal challenges o Affordability

9 Past Collective Bargaining QEO set floor Salary + Benefits Total Package

10 The Transition Need to Shift Collective Bargaining and QEO Base wages and CPI

11 What are the components? Extra Compensation Base Compensation Fringe Benefits Available Funding

12 2011 Wisconsin Act (4)(mb) " Total Base Wages Wisconsin Statute (4)(mb) covers the following: Prohibits bargaining collectively with respect to any condition of employment except wages, which includes only total base wages and excludes any other compensation, such as overtime, premium pay, merit pay, performance pay, supplemental compensation, pay schedules, and automatic pay progressions.

13 Act 10 CPI Change Information CPI limit on collectively bargained base wage increases: o Contracts starting January 1, 2011: o Contracts starting July 1, 2011: o Contracts starting January 1, 2012: o Contracts starting July 1, 2012: 0.97% 1.64% 2.01% 3.16% Source:

14 Base Wage What does it really mean? o Contracts starting July 1, 2011: 1.64% Snapshot at January 1, 2011 Maximum Dollars Allowed - $199,000 (Distribution Negotiated) Base Wage Compensation Goal = $0 o Contracts starting July 1, 2012: 3.16% Snapshot at January 1, 2012 Maximum Dollars Allowed - $380,000 (est) (Distribution Negotiated) Base Wage Compensation Goal = $0 o Contracts starting July 1, 2013: TBD

15 Making it all Fit Extra Compensation Base Compensation Fringe Benefits Available Funding

16 Compensation Components" for and Beyond Base Wage How much? Strategic Plan (Goal #4) Recruit and Retain Staff salaries for professional staff will be in top 5% of CESA #1 school districts. Salary comps needed Fringe Benefits How much? Strategic Plan (Goal #3) health insurance costs not to exceed 5% annually. Insurance committee to be established Extra Compensation (Performance Pay, Merit Pay, etc.) Will this be provided? Is this effective? How much? How will it be distributed? Can it be sustained financially? earliest possible implementation

17 Compensation Direction for Base Wage Decision How much? Strategic Plan (Goal #4) Recruit and Retain Staff salaries for professional staff will be in top 5% of CESA #1 school districts. CPI for needed CESA #1 salary comps needed Preliminary recommendation

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