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Merit PayThe debate rages on . . . . EDUC 6232Supervision & Evaluation of InstructionNicholas PittG46206111

Thank you viewing my presentation on Merit pay, and its effects on American education. My name Is Nick Pitt, and this presentation has been developed for Supervision and Evaluation of Instruction at George Washington University.1

Historical BackgroundNot a new concept in educationGrowth of Single Salary Schedules date to WWIIUsed as tool to fight pay inequalities between males, females, and minoritiesPeriodic debate centered on the need to revamp an antiquated structureTeachers Unions have traditionally opposed changing the pay structureCurrent trends in federal grants favor an overhaul of salary scales

Koppich, J. E. (2010). Teacher unions and new forms of teacher compensation. (Cover story). Phi Delta Kappan, 91(8), 22-26.

As with most themes in education, this is a topic which is cyclical in nature, although the circumstances under which it is being debated have greatly changed.

Most schools operate on a single salary schedule which came about during the aftermath of WWII, when teachers were in short supply, and women, who were elementary teachers, were paid less than their male counterparts in the high schools. This system evolved into what we now know as the step system, by which pay is decided by years of service and advanced degrees. This system is historically one of the least controversial systems to institute. However, periodic debate has centered around the need to have a pay scale which rewards successful teachers, while perhaps discouraging lower-performing teachers from continuing in the field, or encouraging them to either seek professional development or change their teaching strategies.Unions have traditionally fought against this change, calling such practices unfair and declaring education an entity which is more difficult to measure than that of a used car lot. Regardless, the federal government has recently favored pay for performance structures through the Race to the Top Act2

A Breakdown of Merit Pay

Hanshaw, L. G. (2004). Value-related issues in a departmental merit pay plan. Professional Educator, 26(2), 57-68.

So what exactly is Merit Pay? Well, it is a structure by which several factors contribute to the final salary of the teacher. These plans differ greatly in practice, but the basic concepts remain the same. There is some sort of student success measure. Usually, this involves tracking student progress, student gains, graduation/pass rates, or some sort of quantifiable data set. More often than not, this component relies heavily on standardized tests. Many schools also utilize a self-evaluation of the staff by their peers, which could account for a certain percentage of the teachers overall score. Finally, there is the Supervisors evaluation, which makes up the third part of the scheme. Often times these three components are weighted differently, but student success tends to be the most heavily weighted of the three factors across all plans.3

So, whats the debate?A simple enough plan, right?

Seems like a pretty cut and dry, logical plan, right? Well, as holds true across the great world of education, no issue is ever as simple as it seems. There are two sides which are pitted against each other, and neither side seems willing to negotiate. One one side are the powerful teachers unions, who claim to be taking a stand for teachers rights and the rights of students of public education. On the other side are many so-called reformers who see the traditional pay scale as a hindrance to attracting and retaining the most highly qualified candidates to the realm of public education. Lets take a look at where each side stands.4

Cons: Merit Pay Undermines EducationEducation cannot be incentivized like the private sectorFavoritism likely to influence evaluationsStatus, not contribution, major factor in salarySome school conditions are beyond teacher control

Ramirez, A. (2001). How merit pay undermines education. Educational Leadership. 90(2). 17-20.

Those opposed to merit pay state that education is a multi-faceted realm which cannot be incentivized like many private sector industries. Many people who enter education do not do so for monetary reasons, and would thus not be influenced by bonus structures. They also state that principals and other administrators are not beyond the scope of favoritism, and could possibly be influenced during their evaluations by their personal feelings toward a teacher. Also, according to Al Ramirez of the association for supervision and curriculum development (feb. 2011), even in the private sector, salary has not always been determined based on performance, but prestige and status have traditionally been the determining factors. Perhaps the most obvious principal standing out against merit pay is the fact that there are so many variables in education that are beyond the educators control, that rewarding or punishing teachers based upon outcome alone is a false data set in which the teacher with the best class is then rewarded.5

Further CriticismFew people in other professions are paid based on measured outcomesUnpopular with teachersHeavy focus on standardized testsWeak evidence of success

Levin, B. (2011). Why paying teachers based on student results is a bad idea. Phi Delta Kappan, 92(8), 89-90.

Further criticism goes on to state that, in reality, very few occupations are paid based on measured outcomes. Research has shown that only 15-30% of all workers are paid based upon their performance, and that most professionals are paid based on their volume of work, not necessarily their performance of that task. For example an accountant is paid based on billable hours, not how well they completed their task. Pay for performance schemes have never been popular with the vast majority of teachers, either. It would be difficult to enact such schemes without the support of those who are the primary stakeholders. Outside of teacher opinion, many parties have objected to the heavy focus on standardized testing to determine teacher effectiveness. To many, standardized tests are not clear indicators of knowledge, and instead they focus on the ability of a student to take an exam. Overall, opponents have claimed that these merit-based schemes have not had enough trials to be widely implemented.6

Pros: Merit Pay Supports Reform American schools lagging internationally Countries with merit pay outperform U.S. schoolsEconomic theory states effort tied to rewardRecent study shows 15-25% increase in nations with merit pay initiatives

Woessmann, L. (2011). Merit pay international: Countries with performance pay for teachers score higher on PISA tests. Education Next. 73-77.

According to the results of the 2009 Program for International Student Assessment (PIUSA) tests released in 2010 by the Organisation for Economic Co-operation and Development (OECD), U.S. schools performed on average with their international peers, but lagged behind significantly in math and science. Although some have identified other factors in educational demographics, President Obama has called for a national movement to improve classroom instruction from the national level. Ludger Woessmann, Professor of Economics at the University of Munich, has utilized a 2005 survey to identify those developed nations which incorporated merit pay into the salary scale of its teachers. His findings have shown that those developed nations have outperformed other nations which do not utilize such structures. His findings hold true basic economic principles which connect effort exerted to reward. In these nations, there has been substantial gains over their competitors, namely a 15-25% gains , or about one have of a standard deviation, in science and math. However, Dr. Woessmann draws his conclusions carefully, given the low sample size of nations (27) and the concern that cultures that introduce merit pay also those that set high expectations for student achievement. 7

Further SupportHistorically successful for brief periods of timeSmall rewards have great returnsArchaic evaluation tools have been replaced by more comprehensive measuresContinued upward mobility

Johnson, S., & Papay, J. P. (2010). Merit pay for a new generation. Educational Leadership, 67(8), 48-52.

Other supporters may note that although Merit pay has not been implemented nation-wide for a substantial period of time, it has enjoyed brief periods of success, namely during the space race of the 1960s, and the first realization that schools were failing to meet expectations in the 1980s. In each of these instances, gains were met, but the programs fell into disuse because of lack of funding, or union objection. To further their point, many supporters will also state that relatively small rewards, from 500-3000 USD, can have great effect on student gains. These returns have led to many high-quality teachers being staffed in schools which have traditionally been hard to staff, with the carrot of an extra couple thousand dollars as motivation for a job well done. To those who feel that teacher evaluation is little more than an administrator checking a box after 10 minutes of evaluation, the supporter of merit pay would cite the fact that many of these tools are now more dynamic, and reflect the changing conditions of the classroom. Perhaps one of the more convincing arguments for the supporters of merit pay, is the idea that teachers will see an alternate path than the one laid out before them as first year teachers. They may see their basic step increases, as compared to the possiblity of their bonuses, and strive to do the most they can to enhance the performance of their students and the quality of their instruction. 8

Merit Pay In ActionThe Benwood PlanFailing school which used grant to launch teacher-centered reformTeachers had to reapply for their positionsCounty officials offered incentives to attract top talentImplemented Value-Added dataUsed as example for other low-achieving districts

Silva, E. (2008). The Benwood Plan: A lesson in comprehensive teacher reform. Phi Delta Kappan, 90(2), 127-134.

One of the more famous examples of Merit pay in action is that of Hamilton County, which used 5 million dollars from the Benwood foundation in Chatanooga to help turn around low achieving schools in the district. The initiative focused on failing school districts and used the money to undertake a teacher-centered approach to reform. Every teacher in the schools had to reapply for their positions, and man were replaced for not having met expectations. Incentives were given to attract high-quality applicants, including graduate tuition reimbursement, mortgage assistance, and performance pay. These intiatives proved effective in recruiting high-quality teachers and turned around a failing school district. Although they didnt reach their goal of 100% of 3rd graders reading at grade level, they increased their proficency from 53% to 80% in that category and renovated a staff which had the highest proportion of non-qualified teachers in the state.9

ConclusionsObvious change is needed in educationOne model will not work for every schoolLocal conditions need to be consideredTeachers need to buy in to any changesWill remain controversial despite dataThank you for viewing!

Despite the disagreements in implementation, there is little doubt that something needs to take place in order to reform American education. All sides must agree that one model will not work for every school in the nation, nor in every state, and quite possibly, not even in every district. Local considerations need to be considered before changes occur, and teachers need to be convinced that the change is positive, so that they buy in to the intiiative and give it more meaning. No matter what, whether merit pay is implemented more, or less, it will remain a hot button for years to come, despite the data that is provided. With so many incalculables, getting to the bottom of reform is a task that will take many minds, many years, and many trails, to sort out. Thank you for your attention.10