Making teacher incentives work Lessons from North Carolina's
Teacher Bonus Program   View this Outlook as a PDF  Subscribe to
the Education Outlook series  No. 5, June 2011  North Carolina
has operated one of the country's largest pay-for-performance
teacher-bonus programs since the late 1990s. New research shows
that a North Carolina-style incentive-pay program has the
potential to improve student learning by encouraging teachers to
exert more effort on the job. The North Carolina model avoids
three pitfalls associated with implementing individual-level
pay-for-performance plans: the problem of grades and subjects
without standardized tests, the problem of teachers fighting for
the best students, and statistical noise in test scores. The
program also enjoys broad political support, including from the
state teachers union. Education reformers worldwide should
understand how performance pay can improve student learning.
Key points in this Outlook:    • North Carolina teachers receive
pay supplements of up to