Statutory and actual salaries of school heads are higher than those of teachers at pre-primary, primary and general secondary levels of education. On average across OECD countries and economies, actual salaries of school heads are more than 35% higher than those of teachers across all levels of education.
Teachers’ actual salaries at pre-primary, primary and general secondary levels of education are 81% to 96% of earnings of tertiary-educated workers on average across OECD countries.
On average across OECD countries and economies, school heads’ salaries are at least 20% higher than earnings of tertiary-educated workers at all levels of education.
Education at a Glance 2018
Indicator D3. How much are teachers and school heads paid?
Context
Salaries of school staff, and in particular teachers and school heads, represent the largest single cost in formal education. Teachers' salaries have also a direct impact on the attractiveness of the teaching profession. They influence decisions to enrol in teacher education, to become a teacher after graduation, to return to the teaching profession after a career interruption and/or to remain a teacher (in general, the higher the salaries, the fewer the people who choose to leave the profession) (OECD, 2005[1]). The level of salaries can also have an impact on the decision to become school heads.
Burgeoning national debt, spurred by governments’ responses to the financial crisis of late 2008, has put pressure on policy makers to reduce government expenditure, particularly on public payrolls. Since compensation and working conditions are important for attracting, developing and retaining skilled and high-quality teachers and school heads, it is important for policy makers to carefully consider their salaries and career prospects as they try to ensure both quality teaching and sustainable education budgets (see Indicators C6 and C7).
However, statutory salaries are just one component of teachers’ and school heads’ total compensation. Other benefits, such as regional allowances for teaching in remote areas, family allowances, reduced rates on public transport and tax allowances on the purchase of instructional materials, may also form part of teachers’ total remuneration. In addition, there are large differences in taxation and social-benefits systems across OECD countries. This, as well as potential comparability issues related to data collected (see Box D3.1 in (OECD, 2017[2]) and Annex 3), should be borne in mind when analysing teachers’ salaries and comparing them across countries.
Other findings
In most OECD countries, the salaries of teachers and school heads increase with the level of education they teach.
In at least three-quarters of countries and economies with available data, the minimum qualifications to enter the teaching profession are also the most prevalent qualifications of teachers.
Statutory salaries of teachers with maximum qualifications at the top of their salary scales are, on average, between 77% and 81% higher than those of teachers with minimum salaries and minimum qualifications at the start of their career.
Between 2005 and 2017, on average across OECD countries and economies with available data, statutory salaries of teachers with 15 years of experience and most prevalent qualifications increased by 8% at primary level, 7% at lower secondary level (general programmes) and 5% at upper secondary level (general programmes).
While statutory salaries of upper secondary teachers with 15 years of experience and minimum qualifications have now reached pre-crisis levels, statutory salaries of primary and lower secondary teachers have now exceeded pre-crisis levels.
School heads are less likely than teachers to receive additional compensation for performing responsibilities over and above their regular tasks. School heads and teachers working in a disadvantaged or remote area are rewarded with additional compensation in half of the OECD countries and economies with available data.
Analysis
Statutory salaries of teachers
Statutory salaries of teachers can vary according to a number of factors, including the level of education taught, the qualification level of teachers, and the level of experience or the stage of the career of teachers.
By level of education
Teachers’ salaries vary widely across countries. The salaries of lower secondary school teachers with 15 years of experience and most prevalent qualifications (proxy for mid-career salaries of teachers) range from less than USD 25 000 in the Czech Republic, Hungary, Lithuania and the Slovak Republic to more than USD 60 000 in Canada, Germany, Ireland, the Netherlands and the United States, and they exceed USD 100 000 in Luxembourg (Table D3.1a).
In most countries with available information, teachers’ salaries increase with the level of education they teach. In the Flemish and French Communities of Belgium, the Netherlands and Norway, upper secondary teachers with 15 years of experience and most prevalent qualifications earn between 25% and 30% more than pre-primary teachers with the same experience, while in Lithuania and the Slovak Republic they earn 37% to 42% more, in Finland 50% more, and in Mexico, 92% more. In Finland and the Slovak Republic, the difference is mainly explained by the gap between pre-primary and primary teachers’ salaries. In the Flemish and French Communities of Belgium, teachers’ salaries at upper secondary level are significantly higher than at other levels of education (Table D3.1a).
The increase in salaries between teachers (with 15 years of experience and most prevalent qualifications) at pre-primary and upper secondary levels is less than 5% in Chile, Costa Rica, France and Slovenia, and teachers have the same salary irrespective of the level of education taught in Australia, England (United Kingdom), Greece, Poland, Portugal, Scotland (United Kingdom) and Turkey (Table D3.1a).
However, in Iceland and Israel the salary of a pre-primary teacher is at least 10% higher than the salary of an upper secondary teacher. In Iceland, this may result from different collective agreements on teachers' salaries, depending of the level of education. In Israel, the difference results from the “New Horizon” reform, begun in 2008 and almost fully implemented by 2014, which increased salaries for pre-primary, primary and lower secondary teachers. Another reform, launched in 2012 with implementation ongoing, aims to raise salaries for upper secondary teachers.
By level of qualification
The minimum qualifications required to teach at a given level of education in the public school system refers to the minimum duration and type of training required (based on official documents) to enter the profession. The “most prevalent” level of qualifications refers to the level of qualifications and training held by the largest proportion of teachers. It can be defined either for a level of education or at a specific stage of the teaching career (see Annex 3 for the description of qualification levels).
Countries may require different minimum levels of qualifications to teach at various levels of education. Austria, Hungary, Luxembourg, the Netherlands, Poland, Spain, and Switzerland require a higher degree (master’s or equivalent) to teach at general lower and/or upper secondary level than at primary level. This helps explain the higher salaries observed at these levels in those countries.
Differences in salaries of teachers between those with minimum and most prevalent qualifications are by no means the general rule: in countries with a large proportion of teachers with the minimum qualification, they may also represent the most prevalent qualification. In about three-quarters of countries and economies with available information (or more, depending on the level of education taught), the minimum qualification to enter the teaching profession is also the most prevalent qualification at that level (as a consequence, there is no difference in statutory salaries between teachers with minimum and most prevalent qualifications throughout a teacher’s career).
In the remaining countries, the most prevalent qualification at a level of education is higher than the minimum qualification required, and this is recognised by the compensation system. Among the 13 countries with available data, salaries of teachers with the most prevalent qualifications are at least 10% higher than those of teachers with the minimum qualifications in Canada, the Flemish Community of Belgium (upper secondary level), Norway (upper secondary level), Poland (pre-primary, primary and lower secondary levels) and the United States (primary, lower and upper secondary levels), and at some stages of the teaching career only in the French Community of Belgium, Greece, Hungary, New Zealand and Norway (primary and lower secondary levels). The difference in teachers' salaries between those with most prevalent and minimum qualifications exceeds 35% in England (United Kingdom) and 75% in Costa Rica. However, in Costa Rica, salaries of teachers with the most prevalent qualifications are still at least 20% lower than the OECD average (at all stages of the teachers’ careers and at all levels of education). Caution is necessary when interpreting these differences in salaries, as in some countries a very small proportion of teachers have the minimum qualification required (Tables D3.1b and D3.1c, available on line).
The most prevalent qualifications of teachers may also vary according to the number of years of experience of teachers. This is the case in a small number of countries (Canada, Hungary, Iceland, Ireland, Israel and Norway), and the difference can refer to one or several of the four career stages taken into account (starting point, 10 years of experience, 15 years of experience, and top of the range). This is usually linked to recent reforms related to compensation system and/or qualification requirements of teachers. In Ireland, for example, the salary arrangements have changed for teachers who entered the teaching profession from 2012. The salaries related to most prevalent qualifications for teachers with ten or more years of experience refer to the salary arrangement in place for teachers appointed prior to 2012 (the difference in salary varies from 8% to 17% according to levels of education and stage of the career). In Norway, the most prevalent qualification when entering the teaching profession at the primary and lower secondary level is the minimum qualification, and then differs from the most prevalent qualification of all teachers at these levels of education (Table D3.1a and Table D3.1b, available on line).
By level of experience
Salary structures usually define the salaries paid to teachers at different points in their careers. Deferred compensation, which rewards employees for staying in organisations or professions and for meeting established performance criteria, is also used in teachers’ salary structures. OECD data on teachers’ salaries are limited to information on statutory salaries at four points of the salary scale: starting salaries, salaries after ten years of experience, salaries after 15 years of experience and salaries at the top of the scale. Further qualifications also influence differences in starting and maximum salaries and lead to wage increases in some countries.
In OECD countries, teachers’ salaries rise during the course of their career (for a given qualification level), although the rate of change differs across countries. With the most prevalent qualifications, the average statutory salaries for lower secondary school teachers with 10 years of experience are 30% higher than the average starting salaries, and 38% higher with 15 years of experience. In addition, salaries at the top of the scale (reached after an average of 27 years of experience) are 67% higher, on average, than starting salaries. In Greece, Hungary, Israel, Italy, Korea and Spain, lower secondary school teachers reach the top of the salary scale only after at least 35 years of service. By contrast, lower secondary teachers in Australia, New Zealand and Scotland (United Kingdom) reach the highest step on the salary scale after 6 to 7 years (Table D3.1b and Table D3.3a, available on line).
In addition to pay scales, the number of years required to reach the top of scale is an indication of the speed of career progression and perspectives. In general, the larger the range between minimum and maximum salaries, the more years it takes for teachers to achieve maximum status. For example, while on average across OECD countries, a lower secondary teacher with most prevalent qualifications can expect to reach the top of the salary scale after 27 years, it would take only 6-7 years to reach this level in Australia, New Zealand and Scotland (United Kingdom), but maximum salary in these countries is only about 33% to 53% higher than starting salaries, compared to 66% on average across OECD countries. However, this is not true of all countries. For example, while teachers with the most prevalent qualifications in both the Czech Republic and Israel will reach the top of their scale within approximately 32-36 years, maximum statutory salaries in the Czech Republic are only 31% higher than starting statutory salaries, compared to 108% higher in Israel (Table D3.3a, available on line).
Statutory salaries per hour of net teaching time
As the number of hours of teaching varies considerably between countries and also between levels of education, differences in statutory salaries of teachers may also translate into different levels of salary per teaching hour. The average statutory salary per teaching hour after 15 years of experience and with most prevalent qualifications is USD 55 for primary teachers, USD 65 for lower secondary teachers and USD 74 for upper secondary teachers in general education (Table D3.3a, available on line).
Because secondary teachers are required to teach fewer hours than primary teachers, their salaries per teaching hour are usually higher than those of teachers at lower levels of education, even in countries where statutory salaries are similar (see Indicator D4). On average across OECD countries, upper secondary teachers’ salaries per teaching hour exceed those of primary teachers by about 31%. In Scotland (United Kingdom), there is no difference, while in the Flemish Community of Belgium and Mexico, the salary per teaching hour for an upper secondary teacher is at least 83% higher than that for a primary teacher. In Costa Rica and Lithuania, the salary per teaching hour is higher at the primary level (Table D3.3a, available on line).
However, for countries with similar statutory salaries at primary and secondary levels, these difference in salaries per teaching hour between primary and secondary teachers may disappear when comparing salaries per hour of working time, as statutory working time of teachers is usually similar at primary and secondary level (see Indicator D4).
By level of experience and qualification: minimum and maximum teachers’ salaries
Countries that are looking to increase the supply of teachers, especially those with an ageing teacher workforce and/or a growing school-age population, might consider offering more attractive starting wages and career prospects. However, to ensure a well-qualified teaching workforce, efforts must be made not only to recruit and select, but also to retain the most competent and qualified teachers.
At the lower secondary level, the average statutory salary of a teacher with the most prevalent qualification level with 15 years of experience is 41% higher than that of a starting teacher with minimum qualifications. At the top of the salary range with maximum qualifications, the average statutory salary is 78% higher than the average starting salary with the minimum qualification (Figure D3.2).
In terms of the maximum statutory salary range, from starting salaries (with minimum qualifications) to maximum salaries (with maximum qualifications), most countries and economies with starting salaries below the OECD average also have maximum salaries that are below the OECD average. At the lower secondary level, exceptions are Chile, France, England (United Kingdom) and Japan, where starting salaries are at least 5% lower than the OECD average, but maximum salaries are 5% to 25% higher. The opposite is true in Denmark, Finland, Iceland and Sweden, where starting salaries are between 7% and 36% higher than the OECD average, while maximum salaries are at least 5% lower than the OECD average (12% to 30% lower). This results from relatively flat/compressed salary scales in a number of these countries (Tables D3.1c and D3.6, available on line).
Weak financial incentives may make it more difficult to retain teachers as they approach the peak of their earnings. However, there may be some benefits to compressed pay scales. For example, organisations in which there are smaller differences in salaries among employees may enjoy more trust, freer flows of information and more collegiality among co-workers.
By contrast, for lower secondary teachers, maximum salaries (at top of scale, with maximum qualifications) are at least double the starting salaries (with minimum qualifications) in the French Community of Belgium, Chile, Costa Rica, France, Hungary, Ireland, Israel, Japan, Mexico, the Netherlands, and more than three times higher in England (United Kingdom) (Figure D3.2).
The salary premium for maximum qualifications at the top of teachers’ pay scales, compared to most prevalent qualifications after 15 years of experience also varies across countries. At lower secondary level, the pay gap is less than 10% in a quarter of OECD countries and economies, while it exceeds 60% in Chile, France, Hungary and Israel (Table D3.6, available on line and Figure D3.2).
When analysing starting salaries (with minimum qualifications) and maximum salaries (i.e. those at the top of the salary scale with maximum qualification), it is important to bear in mind that minimum qualifications are the most prevalent across the majority of countries, though not all as for example in England (United Kingdom) (see Table X2.5 for the proportion of teachers with minimum or most prevalent qualification levels), that not all teachers may aim for or reach the top of the salary scale and that few of them may hold the minimum or maximum qualifications (Box D3.1).
Box D3.1. Salary range of teachers with maximum qualifications (2017)
Teachers are required to have specific minimum qualifications to enter the teaching profession. In some countries, the most prevalent level of qualifications of teachers is higher than the minimum, and this qualification level is recognised in the compensation system through different salary levels. Some teachers may hold qualifications even higher than the most prevalent one and be paid according to a different salary scale.
About one-quarter of countries and economies with available data offer higher statutory salaries to the teachers with highest qualifications, compared to the most prevalent, as is the case in Canada, England (United Kingdom), France, the French Community of Belgium, Israel, Lithuania, Norway, the Slovak Republic and the United States. In most of these countries, this highest qualification level differs from the most prevalent one at all levels of education. However, in France, it is only available at secondary level (corresponding to salaries associated with Professeurs agrégés). In Norway, the masters’ degree is the most prevalent qualification (at each stage of the career) and also the highest qualification (recognised by the compensation system) for upper secondary teachers. At primary and lower secondary levels, master’s is not the most prevalent qualification, but is still considered as the highest qualification (recognised by the compensation system). As a consequence, the associated salaries of primary and lower secondary teachers with the highest qualification are similar to those of upper secondary teachers with most prevalent qualifications. In the French Community of Belgium, Israel, Lithuania and the Slovak Republic, the minimum qualification is also the most prevalent one (for all levels of education). In this case, a higher qualification level recognised by the compensation system is also available, but held by a smaller proportion of teachers than the minimum qualifications. In Canada, England (United Kingdom) and Norway, the maximum qualification is a third level, compared to the minimum and most prevalent level. This maximum qualification is usually a masters’ degree, but it could be a higher qualification. In Israel and the Slovak Republic, this qualification refers to doctoral level.
The proportion of teachers with these qualifications levels and associated salaries varies largely between countries. Among countries with available data, more than 10% of teachers are paid according to this range in England (United Kingdom) and France (upper secondary level).
More detailed information on qualification levels for all participating countries and economies is available in Annex 3.
Salary trends since 2000
Among the half of the OECD countries with available data on statutory salaries of teachers with most prevalent qualifications (with 15 years of experience) for 2000 and 2017 (and no break in the time series), teachers’ salaries increased overall in real terms in most of these countries during this period. Notable exceptions are England (United Kingdom) and France, where there was a decline of 4% to 10% respectively, and Greece where salaries decreased by 16%. There were also slight declines in teachers’ salaries in real terms (less than 3%) in Italy (primary and secondary education). Salaries increased by more than 20% across primary and secondary education levels in Ireland and Israel. However, in some countries, the overall increase in teachers’ salaries between 2000 and 2017 includes periods of decrease in salary (in real terms), particularly from 2010 (Table D3.5a, available on line).
Over the period 2005 to 2017, where three-quarters of OECD countries and economies have comparable data for at least one level of education, more than half of these countries showed an increase in real terms in the statutory salaries of teachers with 15 years of experience and most prevalent qualifications. On average across OECD countries and economies with available data for 2005 and 2017 reference years, statutory salaries increased by 8% at primary level, 7% at lower secondary level and 5% at upper secondary level. The increase exceeded 20% in Poland at pre-primary, primary and secondary levels (the result of a 2007 government programme that aimed to increase teachers’ salaries successively between 2008 and 2013 and to improve the quality of education by providing financial incentives to attract high-quality teachers) and also in Hungary (pre-primary), Israel, Luxembourg (pre-primary and primary), Norway (primary and lower secondary) and Sweden (pre-primary, primary and lower secondary).
In most countries, similar increases in salary occurred for teachers across primary, lower secondary and upper secondary levels between 2005 and 2017. However, this is not the case in Israel for example where salaries increased by more than 47% at pre-primary level, by 32% at primary level, by 43% at lower secondary level and by 35% at upper secondary level. This is largely the result of the gradual implementation of the “New Horizon” reform in primary and lower secondary schools, which began in 2008 following an agreement between the education authorities and the Israeli Teachers Union (for primary and lower secondary education). This reform includes higher teacher pay in exchange for more working hours (see Indicator D4).
By contrast, salaries have decreased slightly since 2005 in few countries, including Denmark, France, Italy, Japan, Portugal, Scotland (United Kingdom) and Spain, and they decreased by 10% in England (United Kingdom) and by more than 25% in Greece (as a result of a salary freeze since 2011) (Table D3.5a).
However, these overall changes in teachers’ salaries in OECD countries between 2005 and 2017 mask different periods of change in teachers’ salaries, as a result of the impact of the economic downturn in 2008. On average across OECD countries and economies with available data for all years over the period, salaries were either frozen or cut between 2009 and 2013, before starting to increase again (Figure D3.3). While statutory salaries of primary and lower secondary teachers with minimum qualifications have now exceeded pre-crisis levels, on average across OECD countries with data for all reference years, those of upper secondary teachers are still lagging.
Statutory salaries of school heads
Responsibilities of school heads may vary between countries and also within countries, depending on the schools they are responsible for. School heads may exercise educational responsibilities (which may include teaching tasks but also responsibility for the general functioning of the institution in areas such as timetable, implementation of the curriculum, decisions about what is to be taught and the materials and methods used). They may also have other administrative, staff management and financial responsibilities.
Differences in the nature of the work carried out by school heads are reflected in the systems of compensation used within countries. School heads may be paid according to a specific salary range and may or may not receive a school-head allowance on top of the statutory salary. However, they can also be paid in accordance with the salary scale(s) of teachers and receive an additional school-head allowance. The use of the salary ranges of teachers may reflect the fact that school heads are initially teachers with additional responsibilities. At the lower secondary level, among the 32 countries with available information, school heads are paid according to the teacher salary range, with a school-head allowance in 12 countries and according to a specific salary range in the other countries (in 12 countries with no specific school-head allowance and in 8 countries with a school-head allowance). The amounts payable to school heads, through statutory salary and/or school-head allowances, may vary according to criteria related to the school(s) where the school head is based (for example the size of the school based on the number of students enrolled, number of teachers supervised, etc.) and to the individual characteristics of school heads (e.g. the duties he/she has to perform, number of year of experience, etc.) (Table D3.9, available on line).
Considering that the amount of teachers’ statutory salaries varies according to a large number of criteria, the statutory salary data for school heads focuses on those minimum qualification requirements to become a school head, and only minimum and maximum values are shown in Table D3.10. At lower secondary level, the minimum salary is USD 48 316 on average across OECD countries, varying from USD 18 863 in Latvia to USD 109 968 in Luxembourg, and the maximum salary is USD 81 872 on average across OECD countries, varying from USD 29 617 in Poland to USD 152 083 in Luxembourg. Caution is necessary when interpreting these values, as minimum and maximum statutory salaries refer to school heads in different types of schools. About half of OECD countries have similar pay ranges for primary and lower secondary school heads, while upper secondary school heads benefit, on average, from higher statutory salaries.
On average across OECD countries and economies, the maximum statutory salary of a school head with minimum qualifications is 73% higher than the minimum statutory salary in primary education, 68% higher than in lower secondary and 69% higher than in upper secondary. Only in ten countries can school heads at the top of their scale expect to earn twice the statutory salary they started out with in at least one of these levels of education, and in Costa Rica, they can expect to earn more than three times their starting salary.
The minimum statutory salaries for school heads with minimum qualifications are higher than starting salaries of teachers, except in Costa Rica (and Lithuania where they are equal). The difference between minimum salaries for school heads (with minimum qualifications) and starting salaries for teachers (with most prevalent qualifications) increases with levels of education: 24% on average across OECD countries and economies at pre-primary level, 32% at primary level, 43% at lower secondary level and 44% at upper secondary level. In a few countries, the minimum statutory salary of school heads is even higher than the maximum salary of teachers. This is the case at lower secondary level in Australia, Denmark, England (United Kingdom), Finland, Iceland, Israel, Italy, Japan, Mexico, Scotland (United Kingdom), Sweden and the United States (Figure D3.4).
Similarly, maximum statutory salaries of school heads are higher than those of teachers for all OECD countries and economies with available data. At the top of their scale, at lower secondary level, the maximum statutory salary of a school head is 45% higher than the salary of teachers at the top of the range (with most prevalent qualifications), on average across OECD countries and economies. However, maximum statutory salaries of school heads in Chile, England (United Kingdom), Iceland and Scotland (United Kingdom) are more than twice the statutory salaries at top of the range for teachers (Figure D3.4).
Actual average salaries of teachers and school heads
Unlike statutory salaries, teachers’ and school heads’ actual salaries may include work-related payments, such as annual bonuses, results-related bonuses, extra pay for holidays, sick-leave pay and other additional payments (see Definitions section). These bonuses and allowances can represent a significant addition to base salaries. In this case, actual average salaries are influenced by the prevalence of bonuses and allowances in the compensation system, on top of factors such as the level of experience or the qualifications level of the teaching force (Box D3.3). Differences between statutory and actual average salaries are also linked to the distribution of teachers by years of experience and qualifications, as these two factors have an impact on the salary level of teachers.
Across OECD countries and economies, average actual salaries of teachers aged 25-64 are USD 37 440 at pre-primary level, USD 41 244 at primary level, USD 43 546 at lower secondary level and USD 46 713 at upper secondary level. Average actual salaries of school heads aged 25-64 vary from USD 57 141 at primary level, USD 64 423 at lower secondary level and USD 68 932 at upper secondary level (Table D3.4) (see Box D3.2 for variation at subnational level).
Among the 29 OECD countries and economies with available data on both statutory salaries of teachers with 15 years of experience and most prevalent qualifications and actual salaries of 25-64 year-old teachers for at least one level of education, actual annual salaries are 10% higher than statutory salaries in one-sixth (at pre-primary level) to one-third (at upper secondary level) of countries.
Box D3.2. Subnational variation of teachers' salaries at pre-primary, primary and secondary levels
Within the five countries that reported subnational data on statutory salaries of teachers (Belgium, Canada, Sweden, the United Kingdom and the United States), statutory salaries vary largely between subnational entities, with different patterns across countries according to level of education and stage of the career of teachers.
In Belgium, statutory salaries are 3% higher in the Flemish Community than in the French Community, whatever the level of education or the stage of the career of teachers (salaries vary between levels of education and stages of the career). In Canada and the United Kingdom, subnational differences vary according to the stage of the career of teachers only (as the lowest salaries – respectively the highest salaries – are similar at the different levels of education). In both countries, the differences between subnational entities are the largest for starting salaries and decrease with the level of experience. For example in Canada, statutory salaries vary by 80% between subnational entities at the starting point (from USD 31 912 to USD 57 425), by 76% after 10 years of experience (from USD 46 418 to USD 81 741) and by 43% after 15 years of experience or at the top of the scale (from USD 57 158 to USD 81 741). In Sweden and the United States, the differences between subnational entities vary according to the stages of the career of teacher and the level of education. In Sweden the variations are the largest for starting salaries, varying by 18% to 21% according to levels of education, and vary by 10% to 17% at other stages of the career (whatever the level of education). In the United States, there is no clear pattern in the variation (between subnational entities) of statutory salaries at different levels of education and stages of the career. The variations are the smallest for starting salaries at lower secondary level (varying by 71% from USD 33 355 to USD 57 030) and the largest for top of the range salaries at lower secondary level (varying by 200% from USD 51 957 to USD 104 045) (OECD/NCES, 2018[3]).
There are also large subnational variations in actual salaries among the six countries with available data (Belgium, Brazil, Slovenia, Sweden, the United Kingdom and the United States). In Belgium and Slovenia, actual salaries of 25-64 year-old teachers vary by less than 7% between subnational entities at pre-primary, primary, lower secondary and upper secondary levels. Subnational variations of actual salaries for 25-64 year-old teachers are larger in Sweden and the United Kingdom, varying from 10% for upper secondary teachers in Sweden (from USD 43 593 to USD 48 203) to 17% for lower and upper secondary teachers in the United Kingdom (from USD 41 670 to USD 48 817). Subnational differences are much larger in Brazil and the United States. The highest salaries are about twice the lowest salaries in the United States at primary, lower and upper secondary levels (varying from USD 42 060 to USD 84 064 at primary, from USD 41 641 to USD 81 567 at lower secondary and from USD 42 393 to USD 82 540 at upper secondary). In Brazil, salaries in the subnational region with the highest actual salaries are more than three times those in the subnational region with the smallest actual salaries at pre-primary, primary and lower secondary levels, and 5.6 times higher than the lowest actual salaries at the subnational level at upper secondary level (OECD/NCES, 2018[3]).
Within each country, differences in actual salaries at the subnational level are similar for the different age groups for which data are collected (25-34 year-olds, 35-44 year-olds, 45-54 year-olds and 55-64 year-olds), but are slightly larger for the younger age group in Brazil or Sweden. The differences in actual salaries at the subnational level are also similar for women and men in the different countries with available information (OECD/NCES, 2018[3]).
Actual salaries of school heads are higher than those of teachers, and the premium increases with levels of education. On average across OECD countries and economies, actual salaries of school heads are 35% higher than those of teachers at pre-primary level, and the premium is 39% at primary level, and 48% at lower and upper secondary levels. The difference between actual salaries of school heads and teachers varies largely between countries and between levels of education. Countries with the highest premium for school heads compared to teachers are England (United Kingdom) (secondary levels) and Italy (primary and secondary levels), where actual salaries of school heads are twice that of teachers. The premium is the lowest and less than 25% in Denmark (pre-primary level), Finland (pre-primary level), France (pre-primary and primary levels), Luxembourg (secondary levels) and Norway (pre-primary level). Other countries show a steep rise in salaries of school heads compared to teachers at the secondary level, while there is a more moderate difference at primary level. For example, in France actual salaries of school heads and teachers are approximately similar at pre-primary and primary levels, but, the difference is 55% at lower secondary and 37% at upper secondary level. In Latvia, the difference is much larger at pre-primary and primary levels than at lower and upper secondary level (Table D3.4).
Teachers’ and school heads’ actual salaries relative to earnings for tertiary-educated workers
Education systems compete with other sectors of the economy to attract high-quality graduates as teachers. Research shows that salaries and alternative employment opportunities are important factors in the attractiveness of teaching (Johnes and Johnes, 2004[4]). Salaries of teachers relative to those of other occupations (with similar education) and the likely growth in earnings may have a huge influence on a graduate’s decision to become a teacher and stay in the profession. The career prospects of school heads and their relative salaries are also a signal of career progression pathways available to teachers and the compensation they can expect in the longer term.
In most OECD countries, a tertiary degree is required to become a teacher and then a school head, at all levels of education, meaning the likely alternative to teacher education is a similar tertiary education programme. Thus, to interpret salary levels in different countries and reflect comparative labour-market conditions, actual salaries are compared to earnings of other tertiary-educated professionals: 25-64 year-old full-time, full-year workers with a similar tertiary education (ISCED 5 to 8) (see Box D3.3 for data by age group or gender). Moreover, to ensure that the comparison between countries is not biased by differences between the distribution of teachers by tertiary attainment and the distribution of tertiary-educated workers by attainment level, actual salaries of teachers are compared to a weighted average of earnings of similarly educated workers (earnings of similarly educated workers weighted by the proportion of teachers with similar tertiary attainment) (see Table X2.6 in Annex 2 for the proportion of teachers by attainment level).
Among the 19 countries and economies with available data (for at least one level), actual salaries of teachers amount to 60% or less of earnings of similarly educated workers in the Czech Republic (primary and lower secondary) and the United States. Very few countries and economies have actual salaries of teachers that reach or exceed those of similarly educated workers. However, in the Flemish Community of Belgium, actual salaries of teachers equal those of similarly educated workers, and in Latvia they are 5% higher at the lower secondary level and 22% higher at upper secondary level (Table D3.2a).
Considering the few countries with available data for this relative measure of teachers’ salaries, a second benchmark is based on the actual salaries of all teachers, relative to earnings for full-time, full-year workers with tertiary education (ISCED 5 to 8) (see Methodology section). Against this benchmark, actual teacher salaries relative to other tertiary workers increase with higher education levels. Pre-primary teachers’ salaries amount to 81% of full-time, full-year earnings, on average, among 25-64 year-olds with tertiary education. Primary teachers earn 86% of the benchmark salary, lower secondary teachers 91%, and upper secondary teachers 96% (Table D3.2a).
In almost all countries and economies with available information, and at almost all levels of education, teachers’ actual salaries are lower than those of tertiary-educated workers. The relative salary of teachers is lowest in the Slovak Republic at the pre-primary level, where teachers' salaries are 48% those of tertiary-educated workers, and in the Czech Republic at primary and secondary levels where they reach 61% to 63% of those of tertiary-educated workers. However in some countries, teachers earn more than tertiary-educated adults at all levels of education (in Greece, Luxembourg and Portugal), or at upper secondary level only (in Finland, the Flemish and French Communities of Belgium, Germany and Latvia). In Luxembourg and Portugal, teachers earn at least 30% more than tertiary-educated workers, and in Luxembourg, secondary teachers earn twice as much. However caution is necessary when interpreting the ratio. For example, in Greece the proportion of overqualified people in their job may lead to lower average earnings compared to workers with similar proficiency but who are well-matched with their jobs. This may explain that teachers' salaries are higher than those of similarly educated workers (Table D3.2a and Figure D3.1).
Box D3.3. Actual average salaries of teachers, by age group and gender (2016)
At primary and secondary levels, actual salaries of older teachers (age 55-64) are, on average, 37% to 39% higher than those of younger teachers (age 25-34), but this difference between age groups varies considerably between countries and economies. The difference is less than 20% at all levels of education in Australia, Norway and Sweden, while it is 60% or more in Austria, Chile, Greece, Israel, and Portugal (Table D3.4).
Despite the increase in teachers’ salaries for older age groups, the comparison of teachers’ salaries with earnings of tertiary-educated workers seems to show that teachers’ salaries may evolve at a slower rate than earnings of other workers and that the teaching profession is less attractive as the workforce ages. On average across OECD countries and economies, teachers’ actual salaries relative to earnings of tertiary-educated workers are about 14 percentage points higher among the youngest adults (age 25-34) than among the older age groups (age 55-64) at lower secondary level. However, there are large differences between countries, and in Chile, Greece, Hungary, Israel and Latvia, teachers’ actual salaries relative to earnings of tertiary-educated workers are higher for older age groups at pre-primary, primary and secondary levels.
Differences between actual salaries for male and female teachers are small, 2% or less, on average, at primary and secondary levels, in favour of men.
There are larger gender differences in the ratio of teachers’ salaries to earnings for tertiary-educated workers aged 25-64. On average across OECD countries and economies, actual salaries of male teachers (age 25-64) are 77% (at primary level) to 88% (at upper secondary level) of the earnings of a tertiary-educated 25-64 year-old full-time, full-year male worker. Teachers’ actual salaries relative to earnings of tertiary-educated workers are about 31 to 33 percentage points higher among women than among the men at pre-primary, primary and secondary levels of education. This higher ratio among female teachers shows that the teaching profession may be more attractive to women than to men, compared to other professions, but it also reflects the persistent gender gap in earnings (in favour of men) in the labour market (Tables D3.2 and D3.4).
As actual salaries of school heads are higher than those of teachers, they are also higher on average than those of other tertiary-educated adults, and the difference increases with the level of education. On average across OECD countries and economies, school heads earn 21% more than tertiary-educated adults at primary level, 34% more at lower secondary level and 42% more at upper secondary level. School heads earn less than tertiary-educated adults only in the Czech Republic (pre-primary, primary and lower secondary levels), Denmark (pre-primary level), Estonia (pre-primary level), Finland (pre-primary level), France (pre-primary and primary levels), Norway (pre-primary, primary and lower secondary levels) and the Slovak Republic.
Formation of base salary and additional payments: Incentives and allowances
Statutory salaries, based on pay scales, are only one component of the total compensation of teachers and school heads. School systems also offer additional payments to teachers and school heads, such as allowances, bonuses or other rewards. These may take the form of financial remuneration and/or reduction in the number of teaching hours, and decisions on the criteria used for the formation of the base salary are taken at different decision-making levels (Tables D3.8 and D3.12, available on line).
Criteria for additional payments vary across countries. In the large majority of countries, teachers’ core tasks (teaching, planning or preparing lessons, marking students’ work, general administrative work, communicating with parents, supervising students and working with colleagues) are rarely considered as meriting bonuses or additional payments (Table D3.7, available on line). Teachers may also be required to have some responsibilities or perform some tasks without additional compensations (see Indicator D4 for tasks and responsibilities of teachers). Taking on other responsibilities, however, often entails having some sort of extra compensation.
At lower secondary level, teachers who participate in school management activities in addition to their teaching duties received extra compensation in three-quarters of countries and economies with available information. This may be either reduced teaching time, as in Finland, Portugal and the Slovak Republic, or an occasional or annual additional payment, as in Austria, Costa Rica, England (United Kingdom), France, Germany, Ireland, Italy, Japan, Korea, Norway, Spain and Turkey. In Denmark, teachers may benefit from both reduced teaching time and an annual payment. It is also common to see additional payments, either annual or occasional, when teachers teach more classes or hours than required by their full-time contract, have responsibility as a class or form teacher or perform special tasks, such as training student teachers (Table D3.7, available on line).
Additional compensation, either in the form of occasional additional or annual payments or through increases in basic salary, is also awarded for outstanding performance by lower secondary teachers in about half of OECD countries and economies with available data. Additional payments can also include bonuses for special teaching conditions, such as teaching students with special needs in regular schools or teaching in disadvantaged, remote or high-cost areas (Table D3.7, available on line).
There are also criteria for additional payments for school heads, but fewer tasks or responsibilities lead to additional payments compared to teachers. At lower secondary level, only a few countries do not offer any type of additional compensation to their school heads: Austria, England (United Kingdom), the French Community of Belgium and Portugal.
Among the 29 countries with available data, about one-third provide additional compensation to school heads for participation in management tasks over and above their usual school head responsibilities or for working overtime. About half of the countries (Australia, Austria, the French Community of Belgium, Chile, England [United Kingdom], Finland, Greece, Ireland, Japan, Korea, Mexico, Portugal, Slovenia, and Spain) provide additional compensation for teachers when they take on extra responsibilities, but do not provide any additional payments to school heads (Table D3.11, available on line). As for teachers (see above), in some countries, such as Greece, a number of these responsibilities and tasks are considered part of teachers’ and school heads’ duties and are thus not compensated with any extra allowances.
At lower secondary level, additional compensation is also awarded to school heads for outstanding performance in one-third of the countries and economies with available data, as it is to teachers. However Austria, Chile, England (United Kingdom), Israel and Turkey provide additional compensation for outstanding performance to teachers, but not to school heads. The opposite is observed in France and Spain, where school heads are rewarded for high performance, but not teachers (Tables D3.11 and D3.7, available on line).
Teachers and school heads are also likely to receive additional payments for working in disadvantaged, remote, or high cost areas in half of the countries, with the exception of England (United Kingdom), where such incentives are provided only to teachers, and Australia, where they are only provided to school heads (Tables D3.11 and D3.7, available on line).
Definitions
Teachers refer to professional personnel directly involved in teaching to students. The classification includes classroom teachers, special-education teachers and other teachers who work with a whole class of students in a classroom, in small groups in a resource room, or in one-to-one teaching situations inside or outside a regular class.
School head refers to any person whose primary or major function is heading a school or a group of schools, alone or within an administrative body such as a board or council. The school head is the primary leader responsible for the leadership, management and administration of a school.
Actual salaries for teachers/school heads aged 25-64 refer to the annual average earnings received by full-time teachers/school heads aged 25 to 64, before taxes. It is the gross salary from the employee’s point of view, since it includes the part of social security contributions and pension scheme contributions that are paid by the employees (even if deducted automatically from the employees’ gross salary by the employer). However, the employers’ premium for social security and pension is excluded. Actual salaries also include work-related payments, such as school-head allowance, annual bonuses, results-related bonuses, extra pay for holidays and sick-leave pay. Income from other sources, such as government social transfers, investment income and any other income that is not directly related to their profession are not included.
Earnings for workers with tertiary education are average earnings for full-time, full-year workers aged 25-64 with an education at ISCED level 5, 6, 7 or 8.
Salary at the top of the scale refers to the maximum scheduled annual salary (top of the salary range) for a full-time classroom teacher (for a given level of qualification of teachers recognised by the compensation system).
Salary after 15 years of experience refers to the scheduled annual salary of a full-time classroom teacher. Statutory salaries may refer to the salaries of teachers with a given level of qualification recognised by the compensation system (the minimum training necessary to be fully qualified, the most prevalent qualifications, or the maximum qualification), plus 15 years of experience.
Starting salary refers to the average scheduled gross salary per year for a full-time classroom teacher with a given level of qualification recognised by the compensation system (the minimum training necessary to be fully qualified or the most prevalent qualifications) at the beginning of the teaching career.
Statutory salaries refer to scheduled salaries according to official pay scales. The salaries reported are gross (total sum paid by the employer) less the employer’s contribution to social security and pension, according to existing salary scales. Salaries are “before tax” (i.e. before deductions for income tax).
Methodology
Data on teachers’ salary at lower and upper secondary level refer only to general programmes.
Salaries were converted using purchasing power parities (PPPs) for private consumption from the OECD National Accounts database. The period of reference for teachers’ salaries is from 1 July 2016 to 30 June 2017 for statutory data and from 1 July 2015 to 30 June 2016 for actual data. The reference date for PPPs is 2016/17 for statutory data and 2015/16 for actual data, except for some Southern Hemisphere countries (e.g. Australia and New Zealand), where the academic year runs from January to December. In these countries, the reference year is the calendar year (i.e. 2017 and 2016). Tables with salaries in national currency are included in Annex 2. For calculation of changes in teachers’ salaries (Table D3.5a and Table D3.5b, available on line), the deflator for private consumption is used to convert salaries to 2005 prices.
In most countries, the criteria to determine the most prevalent qualifications of teachers are based on a principle of relative majority (i.e. the level of qualifications of the largest proportion of teachers).
In Table D3.2a, the ratios of salaries to earnings for full-time, full-year workers with tertiary education aged 25-64 are calculated based on weighted averages of earnings of tertiary-educated workers (first four columns), The weights, collected for every country individually, are based on the percentage of teachers by ISCED level of tertiary attainment (see Table X2.6 in Annex 2). The ratios have been calculated for countries for which these data are available. When data on earnings of workers referred to a different reference year than the 2016 reference year used for salaries of teachers or school heads, a deflator has been used to adjust earnings data to 2016 reference year). For all other ratios in Table D3.2a and those in Table D3.2c (available on line), information on all tertiary-educated workers was used instead of weighted averages. Data on earnings of workers take account of earnings from work for all individuals during the reference period, including salaries of teachers. In most countries, the population of teachers is large and may impact on the average earnings of workers. The same procedure was used in Table D3.2b (available on line), but the ratios are calculated using the statutory salaries of teachers with 15 years of experience instead of their actual salaries.
For more information please see the OECD Handbook for Internationally Comparative Education Statistics 2018 (OECD, 2018[5]) and Annex 3 for country-specific notes (http://dx.doi.org/10.1787/eag-2018-36-en).
Lithuania was not an OECD member at the time of preparation of this publication. Accordingly, Lithuania does not appear in the list of OECD members and is not included in the zone aggregates.
Source
Data on salaries and bonuses for teachers and school heads are derived from the 2017 joint OECD/Eurydice data collection on salaries of teachers and school heads. Data refer to the school year 2016/17 (for statutory salaries) or 2015/16 (for actual salaries) and are reported in accordance with formal policies for public institutions. Data on earnings of workers are based on the regular data collection by the OECD LSO (Labour Market and Social Outcomes of Learning) Network.
Note regarding data from Israel
The statistical data for Israel are supplied by and under the responsibility of the relevant Israeli authorities. The use of such data by the OECD is without prejudice to the status of the Golan Heights, East Jerusalem and Israeli settlements in the West Bank under the terms of international law.
References
[4] Johnes, G. and J. Johnes (2004), International Handbook on the Economics of Education, Edward Elgar Publishing.
[5] OECD (2018), OECD Handbook for Internationally Comparative Education Statistics 2018: Concepts, Standards, Definitions and Classifications, OECD Publishing, Paris, https://doi.org/10.1787/9789264304444-en.
[2] OECD (2017), Education at a Glance 2017: OECD Indicators, OECD Publishing, Paris, http://dx.doi.org/10.1787/eag-2017-en.
[1] OECD (2005), Teachers Matter: Attracting, Developing and Retaining Effective Teachers, Education and Training Policy, OECD Publishing, Paris, http://dx.doi.org/10.1787/9789264018044-en.
[3] OECD/NCES (2018), Education at a Glance Subnational Supplement, OECD/National Center for Education Statistics, Paris and Washington, DC,, https://nces.ed.gov/surveys/annualreports/oecd/index.asp.
Indicator D3 Tables
Table D3.1a. Teachers' statutory salaries, based on the most prevalent qualifications, at different points in teachers' careers (2017)
Table D3.1b. (Web only) Teachers' statutory salaries, based on the most prevalent qualifications at a given level of education (2017)
Table D3.1c. (Web only). Teachers' statutory salaries, based on the minimum qualifications to enter the teaching profession (2017)
Table D3.2a. Actual salaries of teachers and school heads relative to earnings of tertiary-educated workers (2017)
Table D3.2b. (Web only). Teachers' statutory salaries relative to earnings of tertiary-educated workers (2017)
Table D3.2c. (Web only). Teachers' actual salaries relative to earnings of tertiary-educated workers, by age group and by gender (2016)
Table D3.2d. (Web only). School heads' statutory salaries relative to earnings of tertiary-educated workers (2017)
Table D3.3a. (Web only). Comparison of teachers' statutory salaries, based on the most prevalent qualifications of teachers, by level of education (2017)
Table D3.3b. (Web only). Comparison of teachers' statutory salaries, based on the minimum qualifications required to enter the teaching profession in the reference year (2017)
Table D3.4. Average actual salaries of teachers and school heads, by age group and by gender (2016)
Table D3.5a. (Web only). Trends in teachers’ salaries, based on most prevalent qualifications at different points in teachers' careers, between 2000 and 2017
Table D3.5b. (Web only). Trends in teachers’ salaries, based on minimum qualifications on entry to the profession, between 2000 and 2017
Table D3.6. (Web only). Starting/maximum teachers’ statutory salaries, based on minimum/maximum qualifications (2017)
Table D3.7. (Web only). Criteria used for base salaries and additional payments awarded to teachers in public institutions, all level of education (2017)
Table D3.8. (Web only). Decision-making level for criteria used for determining teachers' base salaries and additional payments, by level of education (2017)
Table D3.9 (Web only) Structure of compensation system for school heads (2017)
Table D3.10. Minimum/maximum school heads' statutory salaries, based on minimum qualifications (2017)
Table D3.11. (Web only). Criteria used for base salaries and additional payments awarded to school heads in public institutions, by level of education (2017)
Table D3.12. (Web only). Decision-making level for criteria used for determining schools heads' base salaries and additional payments, by level of education (2017)