Victorian teachers pocket $50k bonus as they move between regions

A $50,000 incentive to lure teachers to regional areas is lining the pockets of intrepid teachers who principals say are moving from town to town to reap the financial rewards.

But an inquiry into the state education system in Victoria has recommended the government ditch the payments and think of ways to retain loyal and long-term staff instead.

Victoria’s Targeted Financial Incentives program aims to make teaching in rural and regional schools more attractive.

Teachers who sign up to the two-year deal are paid an incentive of up to $50,000, before tax, and are also entitled to annual retention payments after the second, third and fourth years of employment.

The inquiry report was tabled in the Victorian parliament on Tuesday.

It revealed the scheme led to high teacher turnover as some moved between schools for financial gain without integrating into local communities.

It also caused resentment among long-term, loyal teachers who felt undervalued because of the pay inequity brought about by the scheme.

A group of principals from northeast Victoria said while the payments may attract staff to the regions initially, it leads to a high turnover of staff who do not get involved in the local community because they have no intention of staying.

Australian Principals Federation Victorian branch president Tina King said the payments have been quite divisive in schools, leaving long-term staff feeling devalued.

Virtual Schools Victoria teacher Cindy Grocott questioned how schools could retain experienced, loyal and long-term staff when less experienced teachers were being paid so much more.

“If I take (the Victorian town of) Ouyen as an example, someone might get paid an extra $50,000 to go and teach at Ouyen. What about the teachers who have been there for 20 years?” Grocott told the inquiry.

“Someone comes in and they are earning, like, $150,000, when these people who have been there and stood the test of time and been loyal to the school do not get that.”

The scheme is projected to cost the state government $27 million over the 2024–2025 financial year.

The Legislative Council’s legal and social issues committee, who led the inquiry, recommended exploring alternative incentives such as housing support or rewards for long-serving teachers.

Comparatively, NSW offers $20,000 and Queensland offers $32,000 teaching incentives.

The inquiry also addressed curriculum overcrowding, NAPLAN performance and how the new enterprise bargaining agreement is affecting school abilities to provide extra-curricular activities such as school camps.

The Australian Education Union has been contacted for comment.