We use a field experiment in Tanzania to compare the effectiveness on learning of two teacher performance pay systems. The first is a Pay for Percentile system (a rank-order tournament). The second rewards teachers based on multiple proficiency thresholds. Pay for Percentile can (under certain conditions) induce optimal effort among teachers, but…

This case study describes the peer evaluation system the Maricopa County Educational Services Agency (MCESA) is using in the districts participating in its Teacher Incentive Fund (TIF) 3 and 4 grants. Maricopa County's TIF districts cover much of the Phoenix, Arizona, metropolitan area. Including both TIF 3 and 4 cohorts, 12 districts with a total…

Over the past decade, educators and policymakers have used a variety of approaches to designing and implementing teacher compensation programs. These approaches include federal incentive funds, state-level programs, and district initiatives. This article reviews 6 such programs in order to identify themes and draw conclusions relevant to…

Pay for performance is not a new idea, and reformers should not ignore the dismal record of merit pay over the past century. Initially adopted with a flourish of expectations during several waves of popularity in the past, every plan eventually fell into disuse. These plans proved to be unexpectedly costly and cumbersome to run. They often…

The District Awards for Teacher Excellence's (D.A.T.E.'s) first year of implementation in 2008-09 occurred at a time when Texas was operating several state-funded performance pay programs. The three-year Governor's Educator Excellence Grant (G.E.E.G.) program was coming to its expected completion, while the Texas Educator Excellence Grant…

District Awards for Teacher Excellence (D.A.T.E.) is a state-funded program in Texas that provides grants to districts for the implementation of locally-designed incentive pay plans. All districts in the state are eligible to receive grants, but participation is voluntary. D.A.T.E. incentive pay plans were first implemented in Texas districts…

As of August 2010, a total of 33 states, school districts, charter school coalitions, and other education organizations had received Teacher Incentive Funds (TIF) to redesign compensation programs for teachers and principals. The U.S. Department of Education named a new cohort of TIF grantees on September 23, 2010. TIF grantees have faced a number…

Schools, districts, and states across the nation are changing the way educators are paid. Through the Teacher Incentive Fund (TIF) and other publicly and independently funded programs, educators at every level are designing and implementing modified pay and reward structures for teachers and principals. Sometimes these initiatives are called…

The Texas Educator Excellence Grant (TEEG) program was state-funded and provided annual grants to schools to design and implement performance pay plans during the 2006-07 to 2009-10 school year. TEEG was implemented each year (i.e., Cycle) in approximately 1,000 high poverty, high performing Texas public schools. Performance pay for teachers…

Tying teachers' pay to their classroom performance should, says Victor Lavy, improve the current educational system both by clarifying teaching goals and by attracting and retaining the most productive teachers. But implementing pay for performance poses many practical challenges, because measuring individual teachers' performance is difficult.…

In U.S. K-12 public education, incentive pay for educators remains firmly fixed as a high-interest policy topic and has recently become a popular reform initiative in many school systems. The Teacher Incentive Fund (TIF), created in 2006 by the U.S. Department of Education, is at the forefront of this policy movement and has provided hundreds of…

Since the announcement in 1999 of a plan to tie teachers' salary increases to student achievement by Denver Public Schools, there has been a flood of nationwide policy activity around teacher compensation. This paper examines pay plans in Denver, Toledo, Minneapolis, and New York City, offering a snapshot of the changing landscape of teacher…

This report analyzes the content and development of the 45 school district career ladder plans submitted in 1984 to the Utah State Office of Education. Descriptive commentary and data tables are used to examine (1) the structure and composition of planning committees; (2) teacher evaluation provisions, including changes in evaluation methods, the…

In this paper we examine the research literature on teacher performance pay. Evidence clearly suggests an upsurge of interest in many states and school districts; however, expanded use of performance pay has been controversial. We briefly review the history of teacher pay policy in the U.S. and earlier cycles of interest in merit or…