Showing posts with label pay. Show all posts
Showing posts with label pay. Show all posts

12.20.2009

Jeff the Great Mandates Performance Pay for Teachers

There are a few hot topics in America today. Healthcare is of course the big one but shortly behind it you'll hear about taxes and education funding. It would be hard to find a person that doesn't agree with the idea that our schools are underperforming and something needs to change. From there however, you'll find two camps. One that thinks we need to spend more money on education and another that believes we spend enough but it just isn't spent wisely. I'm in the second camp.

One thing that continuously frustrates me is that we pay teachers based on seniority, not by performance. A teacher with 10 years of experience is paid more than a teacher with 9 years experience, regardless of how effective they are or aren't in the classroom. And trust me, they aren't all effective. Ask any teacher if they know of another teacher in their school that isn't putting their all into the job. Ask them if there are any teachers that don't perform as well as they do. I guarantee you'll get two "yes" answers EVERY time you ask a teacher that question.

So if some teachers are better than others, why don't we recognize this by paying the better ones more? Teachers and their unions answer that question by saying that it isn't fair to pay teachers based on student test scores and as part of that, it isn't fair to pay teachers based on things that are out of their control. I call bull shit on both of these answers and below is why.

First, by making the test score argument, teachers and the unions want us to think that test scores are the only option for identifying the good from the bad and that it isn't a fair measure. Not sure about you, dear reader, but the customers of my employers are not tested, yet my bosses have always been able to grade my work performance. So lets get this idea of test scores out of the way and open our minds a bit.

Performance can be measured in so many ways. In fact, the same methods to rate my performance in the private sector can easily be used to rate the performance of a teacher. For starters, principals have a very good understanding of who's good and who's not...just like the manager of a Starbucks can tell you who's good and who's not. In addition to the principal, why not ask the teachers themselves to rate their peers? My last two companies utilized this method with great success, why can't schools? Simply ask: "how do you like working with teacher X? Do they improve or degrade the working environment? Is teacher X a team player? etc, etc."

What about the opinion of parents? Anyone reading who has (or had) school aged children can tell you they like some and don’t like others. Would you be willing to anonymously give feedback to the school at year’s end? After all, the parents are the customer, right? It’s their taxes paying for the schools. Shouldn’t their feedback be important?

Furthermore, was a teacher late to work too many times last year? Did they have a large number of suspicious sick days? Did they half ass a report requested by their boss? Do some teachers put in extra hours, even working on weekends? Do any teachers extend their office hours to help students or go above and beyond when communicating with parents? Did someone offer to share their successful curriculum with other teachers or take a new teacher under their wing? Did a teacher seek out additional training or education during the year, beyond what is required?

Shall I keep going here?

All of these ideas are used every day in the private sector and they work well. Not one of the above suggestions touches test scores. We need to stop looking at schools as special work places and start thinking of them like any other business. Performance can be measured.

Back to test scores. Until recently I agreed with teachers and their unions about test scores being an unfair way to measure performance. After all, a teacher has no control over the education received before a child does not make it to their class, nor do they have control over the amount of support they get at home. However, I've changed my position.

We need to stop thinking of success on an A, B, C, D, or F grade scale. Why can't we call a teacher successful if they improve their class test score average but 10 points from the start of the year to the finish, even if the students still have just a C average?

I recently read that a study of student test scores and graduation rates was able to easily identify the good verse the bad teachers, particularly in grades 1 through 3. The data clearly showed that students in certain teacher’s classrooms early in life were more likely to graduate high school and perform well on tests. These teachers were doing something that other teachers weren't (to find out what, you'll have to read What the Dog Saw by Malcolm Gladwell, my favorite author). Why shouldn't these teachers be compensated for doing their job better than other teachers. Twenty years of data backs up their success...it’s no fluke!

When I mentioned over on Facebook that I was going to write this blog post, I received a lot of feedback from friends. Actually 20+ comments, some in support of the concept of performance pay and some against. One commenter said that teachers shouldn't be paid for things out of their control. To that, I ask this: if you have no control over the education of our children, couldn't we replace you with any goober off of the street get the same results? Of course not! This commenter is probably a much better teacher than I could dream of being. She plays an important role in the lives of children. And if that is the case, isn't it likely that she is also better than many of her fellow teachers? And if so, shouldn't she be paid more? Don’t sell yourselves short, teachers. You play a very important role in the development of our children and you do something that most of us could not.

Another commenter said that she didn't want to be paid on performance unless her district gave her all the resources necessary to be the best teacher she can be. Newsflash ma'am, just about every employee at nearly every company wants more resources from the top. Of course we could all do better with more! That just isn't reality. As long as one teacher gets no more resources than another, you can still measure performance.

Finally, many teachers and other opponents of performance based equate the concept to lower pay. That just isn't true and is not my stance. In fact, I'd love to see teachers get paid much, much more than they do now. I just want the best teachers to get the most. But assume that the total salary paid by a district stays the same under a performance based system. If teachers are graded on a perfect curve and compensation distributed on that curve, exactly 50% of teachers would get more and 50% would get less.

Are you one of the better teachers in your district or one of the worst? I'll bet on your success, but will you?

5.26.2009

Jeff the Great Cuts Your Pay

I know the economy is bad and unemployment is higher than its been in decades. Is it so bad though that companies think they can pay half of what people are worth? I mean, don't you still have to pay to get and retain talent?

Case in point: some recent job listings I came across today (no, I'm not looking). The first is a "Financial Modeling/Excel Wizard" at an self proclaimed professional business planning firm. They essentially need someone to build Excel proforma financial statements to help clients raise capital. They'd prefer a CPA or an MBA that had a finance focus.

The pay you ask? Try $30,000 a year. Don't fret, after 90 days they will bless you with a 5% raise if you deserve it! Once last thing, they make it very clear that they will not pay for your parking!

The second job I stumbled upon is a Project Manager for an "established website design" firm. They want you to have strong communication skills, have great organizational skills and to be familiar with internet technologies. Your job will be to make sure that they stay on task, on time and on budget.

They key to this job is that they specifically say "Project management experience is not required" but a 4-year college degree would be nice. I'm serious folks, you can't make this stuff up!

The pay on this one? A whopping $26,000 a year folks.

Do these companies really think they can hire good people for this type of pay? Do they understand that people go to school for an MBA so that they can make more than they did without the degree? Thirty thousand dollars a year is $15 an hour. I've known 18 year old's that make $15 an hour.

Here are the direct links if you'd like to check out the jobs on your own (note, the content probably wont be on Craig's List for long so don't be surprised if the links don't work a week after I write this):

Financial Modeling/Excel Wizard- $30,000/yr
Project Manager- $26,000/yr

Happy job hunting!

-Jeff the Great

10.29.2008

Jeff the Great votes 'Yes' on 60

If you are an Oregonian you should know that there is a ballot measure in this years election that proposes the end of seniority based pay in favor of performance based pay for teachers in the Oregon public school system. It's called ballot measure 60.

I'm voting yes on this ballot measure because I have a sister who is a phenomenal teacher and I think she should be paid for her outstanding performance. Why should she, as a 3 year veteran, be paid less than a 15 year vet with a 'tenure' attitude towards their work?

Unfortunately, the various teachers unions are brainwashing my sister and her fellow teachers. They are lying to them by saying the ballot measure requires pay based on student test scores. They act as if they have my sisters best interest at heart, when in reality they are for nothing but the status-quo.

Instead of arguing with the teachers unions and pointing out their lies, I'll just let you read the full text of the ballot measure and let you decide for yourself:
Section 1. Teacher pay raises and job security shall be based on job performance.

(a) After the effective date of this 2008 Act, pay raises for public school teachers shall be based upon each teacher’s classroom performance and not related or connected to his or her seniority. If a school district reduces its teaching staff, the district shall retain the teachers who are most qualified to teach the specific subjects, which they will be assigned to teach. A determination as to which teacher is most qualified shall be based upon each teacher’s past classroom experience successfully teaching the specific subject(s) or class, as well his or her as academic training in the relevant subject matter.

(b) This 2008 Act shall be called the “Kids First Act” and shall supersede any previously existing law, rule, or policy with which it conflicts. This Act shall not be implemented in a manner so as to violate or impair the obligation of any contract in existence as of the effective date of this Act, but shall govern later extensions to those contracts and new contracts entered into after the effective date of this Act.

Anywhere in there does it say test scores? In fact, it doesn't even define what performance is. Some say that's bad, I argue its a great thing. This way principals and superintendents get to decide what good performance is.

You know, kinda like how your company and boss does for you if you don't work in the unionized public sector.

I challenged my sister this. I said that if she is okay with seniority based pay, a structure that her union pays millions to defend, then she should have seniority based grading in her classroom.

Older kids get "A's" since they've been around longer and the youngest kids get "F's." Just as fair as their teachers salary.

-Jeff the Great

P.S. Barack Obama supports performance based pay for public school teachers...I'm just say'n.

2.04.2008

Jeff the Great gives Teachers a Raise!

I received a *cute* little email forward from my sister, about how teachers are apparently underpaid and worth say, 8 times more than they get paid. I thought I'd share the forward with you, and then my response. It's worth the read:

SICK OF THOSE HIGH PAID TEACHERS

Their hefty salaries are driving up taxes, and they only work nine or ten months a year! It's time we put things in perspective and pay them for what they do...baby-sit! We can get that for less than minimum wage. That's right

I would give them $3.00 dollars an hour and only the hours they worked, not any of that silly planning time. That would be $19.50 a day (7:45 AM to 4:00 PM with 45 min. off for lunch). Each parent should pay $19.50 a day for these teachers to baby-sit their children.

Now, how many do they teach in a day...maybe 30? So that's 19.5 X 30 =$585.00 a day. But remember they only work 180 days a year! I'm not going to pay them for any vacations. Let's see...that's $585 x180 = $105,300 per year. Hold on! My calculator must need batteries!

What about those special teachers or the ones with master's degrees? Well, we could pay them minimum wage just to be fair, round it off to $7.00 an hour. That would be $7 times 6-1/2 hours times 30 children times 180 days => > $245,700.00 per year.

Wait a minute, there is something wrong here! There sure is, duh!


And my Response:

Oh Sister, so cute are you when you feverishly defend teachers…regardless of the truth.

However, while you were amassing tens of thousands of dollars of debt only to enter a career you knew only paid ~$34k per year, I think they failed to teach you proper math. Lucky for you, while only collecting $14k of school debt for a career that pays me 3, 4, 5 and many more times the national average, I did learn what you teachers call “new” math.

You imply teachers are worth $245,000 per year. Well Please see below for my “lesson plan” in rebuttal to your below email about teachers pay.

1. Though you do teach more than 1 student at a time, it is absurd to think that your pay should go up proportionately to the number of pupils in your class. I mean, the guy that works the McDonalds counter gets the same hourly wage if the serves 20 people an hour as he does if he serves 1 person per hour. Life just doesn’t work that way.

So lets call it 19.50 per day, not $585 per day. To be fair, lets bump you up to minimum wage: $59.63 per day

2. Teachers with Master’s Degree’s you say? In my industry those folks have a starting salary at most 60% higher than those with a BA….surely not the 133% more pay you claim in the below email. Masters degree =$80.50

Grand total: $17,173 per year. You make about double that. Wish I made double what the basic math says about my career.

BUT WAIT, there is more!

3. You have some of the best health insurance available, for almost $0 out of your pocket for premiums. My company (that offers great insurance in the private sector) pays about 90% of my premiums. That’s worth about $10,000 per year for my wife and I. We know your insurance is cheaper for you than mine is for me, so lets assume your ‘company’ pays 98%. That’s a value to you of $10,780.

salary + benefits= $44,780 per year or 161% greater than my above calculation.

4. Lets not forget the sweetheart of a retirement plan that you contribute $0 into. I’ve heard some teachers retire with up to 120% of their highest annual salary. So if they make it to $60,000/yr like many teachers do they retire with $72,000 a year in retirement. But lets say you are a new teacher and you only get 80% of your highest salary when in retirement. That’s still $48,000 a year. Of course you will live for probably 30 years after you retire earlier than most people do (because they don’t have the great pension plan you have) so in today’s dollars that’s $1,440,000. You’ll work about 20 years before retirement so lets call it compensation of $72,000 per year NOW in TODAY’S dollars.

I could get more technical with present value, inflation, opportunity cost, etc, but I am sure you have papers to grade.

So with my simple math we have $44,780 + $72,000= $116,780 per year or 580% more than my original calculation.

5. As a salaried employee it doesn’t really matter if you work 180 days or 300 days. I work about 245 days out of the 250-255 work days that my company recognizes. When I take a day off, they actually count that as compensation. They say a day off has value above and beyond my salary. So lets look at the summer, spring break and Christmas vacations you get. That’s what, 70 additional days off do be conservative? Seventy days at $80.50 per day…that’s $5,635 worth of additional compensation.

$116,780 + $5,635= $122,415

I could go on about the value of virtually guaranteed employment due to a rock solid union contract, guaranteed raises regardless of performance, etc, etc….but I think you get the point.

I think you can see that teachers are paid VERY well and appreciate benefits and job security that most of us in the private sector will never enjoy.

Your (apparently underpaid) loving brother,

Jeff

P.S. never send something like that to a Financial Analyst


So, do you make $122,415 per year?

-Jeff the Great