This CED report examines teacher pay and other compensation issues. Schools must be able to compete effectively for college-educated workers who have more career choices and see themselves as more mobile professionally than did earlier generations. Traditional compensation policies for teachers (salary schedules that reward only longevity and…

The retirement behavior of Pennsylvania public school teachers in 1997-98 and 1998-99, a period when state early retirement incentives were temporarily increased, is modeled using a choice framework that emphasizes both pecuniary and nonpecuniary factors of the retirement decision under a defined benefit retirement plan. We find each to have large…