Not exact matches
The current dispute dates back to a 2007 «cap and share» agreement, in which
teachers» unions agreed to accept
increased pension
contributions - so long as the government came up with evidence that the move is necessary.
The NUT agreed to changes in 2007 which
increased contributions and retirement ages, capped employers»
contributions and accepted that
teachers might pay more in future if they need to.
«The DfE has provided no objective evidence to support the need to
increase the pension
contribution paid by
teachers.
Following the submission today of the NASUWT response to the Department for Education consultation on «Proposed
Increases to
Contributions for Members of the
Teachers» Pension Scheme», Chris Keates, General Secretary of the NASUWT, the largest teachers» union in the UK, said: «The Coalition Government should tell the public the truth about why it is seeking to raid the pensions of millions of ordinary public service workers and why it is taxing public sector workers who are acting responsibly by trying to save for their ret
Teachers» Pension Scheme», Chris Keates, General Secretary of the NASUWT, the largest
teachers» union in the UK, said: «The Coalition Government should tell the public the truth about why it is seeking to raid the pensions of millions of ordinary public service workers and why it is taxing public sector workers who are acting responsibly by trying to save for their ret
teachers» union in the UK, said: «The Coalition Government should tell the public the truth about why it is seeking to raid the pensions of millions of ordinary public service workers and why it is taxing public sector workers who are acting responsibly by trying to save for their retirement.
Following the submission today of the NASUWT response to the Department for Education consultation on «Proposed
Increases to
Contributions for Members of the
Teachers» Pension Scheme», Chris Keates, General Secretary of the NASUWT, the largest teachers» union in the U
Teachers» Pension Scheme», Chris Keates, General Secretary of the NASUWT, the largest
teachers» union in the U
teachers» union in the UK, said:
The only conclusion to draw is that these
contribution increases are a wholly unjustified tax on
teachers.
The package also includes a controversial proposal to require
teachers to
increase the
contribution to their pensions from 6 percent to 7 percent.
Despite a well protected school spending budget under the present parliament, the IFS believe that
increasing pupil numbers and staff wages will contribute to the possible funding cuts, while
teachers» pensions and national insurance
contributions could also be effective.
Not surprisingly, these enhancements have come at a substantial cost: Combined
contributions for
teachers and districts
increased from 16 to 29 percent of salary over this period.
«ASCL urges the STRB to press the DfE to fully fund pay rises so that the government meets the additional costs rather than again expecting them to be met from existing school budgets which are already under huge pressure because of unfunded
increases to employers»
contributions to
teacher pensions and National Insurance costs.»
While the private sector
contribution rate has been relatively flat over the four years, the rate for public school
teachers has markedly
increased, doubling the gap between them from one - fifth to two - fifths.
In order to pay down the current debt, the state
increased pension
contribution rates that are deducted from a
teacher's paycheck.
With schools facing
increased costs amounting to 4.5 per cent due to pay rises, National Insurance
contributions and pension deficits, it's no wonder that more than 90 per cent of 1,000 head
teachers surveyed by the Association of School and College Leaders (ASCL) say that their finances are going to be critically under pressure for 2015/2016.
A recent study by Robert M. Costrell and Jeffery Dean (see «The Rising Cost of
Teachers» Health Care,» research, Spring 2013) found that aggregate district health - care costs were 13 to 19 percent lower in 2012 than they would have been in the absence of the Act 10 provisions, with two - thirds of the decline coming from reduced premiums and one - third from
increased employee
contributions.
While
increased employee
contributions and the reduced scope of collective bargaining have affected educators negatively, one superintendent reported positive effects on the relationship between administrators and
teachers.
As for filling the hole of unfunded liabilities, there's little choice but to raise
contribution rates for
teachers, to
increase districts»
contribution rates (which decreases funds for students) or to seek bailouts from states or the federal government (otherwise known as the «charge - it - to - taxpayers» gambit).
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To balance the books, states are requiring
increased employee
contributions and are making vesting rules more stringent — using new
teachers» paychecks to protect legacy payments to older colleagues.
Such changes are controversial because the idea of measuring a
teacher's
contributions to student learning contests the predominant labor management model in education: salaries and benefits that
increase with experience, and layoffs based on reverse order of seniority.
Example A is Pennsylvania, which recently announced they will be
increasing the employer
contribution rate for retired
teacher pension and health benefits in 2010 - 11 by 72 percent over current levels.
In particular, a 2014 recovery plan for the
teacher retirement system requires a steady
increase in district
contributions over seven years, which is causing belt tightening in many districts.
School districts spend about 60 percent of their budgets on
teacher and staff compensation, so a 10 percent
increase in retirement
contributions means roughly 6 percent of the entire budget has to be reallocated from educating children to paying off underfunded pension plans.
Thanks to a series of deals Philadelphia struck with the AFT local, along with
increases in pension
contributions, led to a 53 percent
increase in spending on
teachers» benefits between 2002 - 2002 and 2011 - 2012, according to data from the U.S. Census Bureau; benefits accounted for 27 cents of every dollar spent on
teacher salaries in 2012, versus 21 cents a decade earlier.
The district's contract proposal phased out the district's longstanding practice of picking up the bulk of
teacher pension
contributions and
increased union insurance premiums in exchange for a series of pay hikes over four years and a promise of no economic layoffs.
Increasingly, the
contribution of
teachers has become a focal point as a number of studies have found large differences in
teachers» effec - tiveness at
increasing student achievement.
Government changes to the discount rate (a rate of interest used to value the
Teachers» Pension Scheme) mean that even though the scheme benefits have been cut and employee
contributions increased, employer
contributions have risen from 14.1 per cent to 16.4 per cent.
The use of complex value - added models that attempt to isolate the
contributions of
teachers or schools to student development is
increasing.
School officials said on Thursday the revised budget would close a $ 269 million gap with help from $ 130 million from a local tax
increase that will cover some of the steadily
increasing contributions CPS owes to its
teacher pension fund.
Much of the state of Pennsylvania's $ 440 million
increase in education spending was also allocated to
teacher pensions, catching up on missed
contributions during the recession.
While Gov. Jerry Brown has instituted a new funding formula for school districts statewide, sending putting more dollars in local hands, he is also asking
teachers to
increase their pension
contributions as a way to help pay down $ 74 billion in
teacher pension debt.
Additional costs for
teachers as part of
increased pension
contributions could be «phased in» and be part of a broader agreement with
teachers, Claypool said.
In the ERPaid plan, the employer pays the entire
contribution to the retirement system, with
teachers contributing through a salary reduction or in lieu of a pay
increase.
It estimates a rapid
increase in district
contributions from $ 32 million in 2011 to $ 139 million annually by 2020, assuming that the state continues to
increase its share of funding for Philly's
teacher pensions.
The new
contribution rate
increases do not significantly impact
teachers who were teaching prior to the benefit enhancements, because they already worked most of their careers without the higher rates.
The California
Teachers Association pension plan for its employees is less than 80 percent funded, «which means the union will either have to reduce future benefits or
increase contributions.»
The authors found that a new
teacher would actually have been better off without the pension enhancements because of the
contribution rate
increases.
Career
teachers in the top percentile saw benefit
increases of nearly $ 100,000 in estimated pension wealth, while the gain for new
teachers was just under $ 4,000 (not including their own funding
contributions).
That
contribution increase was not enough to cancel out the benefit
increase for late - career
teachers, but it erased all gains for
teachers who were early in their career at the time.
Prior to Act 10, employees could negotiate with their employers to contribute some or all of any statute - mandated employee share of retirement benefits.42 The bill eliminated that option, forcing employees to pay half of retirement plan
contributions — which totaled 5.8 percent of
teachers» salary for the 2011 - 12 school year — once collective bargaining agreements expired.43 Act 10 also set minimum employee
contributions for state health plan enrollment, while in the past,
teachers could negotiate for their employers to cover a greater share of costs, potentially in exchange for smaller salary
increases.44
Current
teachers also will bear the burden of the legislature failing to
increase state
contributions toward active employee health insurance.
States are in the midst of their own
contribution increases and benefit cuts, and as a result today's
teacher retirement plans are worse than those offered to prior generations.
As for what the
contributions are, well, prior to Brown demanding that districts
contributions be
increased until they hit 19.1 % in 2020 - 21, the
contributions were 8.25 % and
teachers were 8.15 %.
In June, Brown proposed and the Legislature adopted substantial
increases in
contributions to the California State
Teachers» Retirement System.
It's a double whammy for classroom
teachers because
teachers will be required to
increase their pension
contributions, eroding whatever raise the union negotiates with the district, and the additional dollars districts spend on pension debt are dollars that can't be spent elsewhere.
Since 2004, total employer
contributions for
teacher retirement benefits, inclusive of Social Security, have
increased from 12 to almost 23 percent of salaries on average nationally.