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Teachers' unions and compensation: The impact of collective bargaining on salary schedules and performance pay schemes

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  • West, Kristine Lamm
  • Mykerezi, Elton

Abstract

This study examines the impact that collective bargaining has on multiple dimensions of teacher compensation, including average and starting salaries, early and late returns to experience, returns to graduate degrees, and the incidence of different pay for performance schemes. Using data from the School and Staffing Survey (SASS) and a more recent data set, the Teacher Rules, Roles and Rights (TR3), we find that collective bargaining has a significant impact on all aspects of current, qualification-specific salary schedules. Further, we find some evidence that bargaining impacts the design of performance pay plans. Specifically, unions tend to encourage teacher bonuses that are based on additional qualifications or duties, but discourage bonuses that directly reward improved student test scores.

Suggested Citation

  • West, Kristine Lamm & Mykerezi, Elton, 2011. "Teachers' unions and compensation: The impact of collective bargaining on salary schedules and performance pay schemes," Economics of Education Review, Elsevier, vol. 30(1), pages 99-108, February.
  • Handle: RePEc:eee:ecoedu:v:30:y:2011:i:1:p:99-108
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    2. Jessica S. Merkle & Michelle Andrea Phillips, 2018. "The Wage Impact Of Teachers Unions: A Meta‐Analysis," Contemporary Economic Policy, Western Economic Association International, vol. 36(1), pages 93-115, January.
    3. Baron, E. Jason, 2018. "The Effect of Teachers’ Unions on Student Achievement in the Short Run: Evidence from Wisconsin’s Act 10," Economics of Education Review, Elsevier, vol. 67(C), pages 40-57.
    4. Mario Coccia & Igor Benati, 2017. "What is the relation between public manager compensation and government effectiveness? An explorative analysis with public management implications," quaderni IRCrES 201701, CNR-IRCrES Research Institute on Sustainable Economic Growth - Moncalieri (TO) ITALY - former Institute for Economic Research on Firms and Growth - Torino (TO) ITALY.
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    6. Kristine L. West, 2015. "Teachers’ Unions, Compensation, and Tenure," Industrial Relations: A Journal of Economy and Society, Wiley Blackwell, vol. 54(2), pages 294-320, April.
    7. Kristine L. West, 2014. "New Measures of TeachersÕ Work Hours and Implications for Wage Comparisons," Education Finance and Policy, MIT Press, vol. 9(3), pages 231-263, July.
    8. Brunner, Eric J. & Squires, Tim, 2013. "The bargaining power of teachers’ unions and the allocation of school resources," Journal of Urban Economics, Elsevier, vol. 76(C), pages 15-27.
    9. Cowen, Joshua M. & Strunk, Katharine O., 2015. "The impact of teachers’ unions on educational outcomes: What we know and what we need to learn," Economics of Education Review, Elsevier, vol. 48(C), pages 208-223.
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