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With inflation being what it is, civil service workers (including teachers) are going to be feeling a bit of a squeeze. We are already seeing it with bus driver

With inflation being what it is, civil service workers (including teachers) are going to be feeling a bit of a squeeze. We are already seeing it with bus drivers and teacher aides - there is no way for the public sector to keep up with private sector wages during high inflation (the tax levy can't grow fast enough). What will be interesting is if having non-certified teachers doesn't impact education outcomes, which for K-5 gen ed classes seems at least a possibility. Then the core argument for teacher pay (that they have masters degrees) will go out the window.

midoridensha 4y ago
The tax rate doesn't need to go up: with the same tax rate, the revenues will increase with inflation because the costs of things will go up, so of course the amount of tax will also go up. Governments simply don't want to pay enough to attract and retain talent, inflation or not.
- debacle 4y ago
  I am highly involved in local and statewide policymaking in this field. The property tax levy is fixed year to year, and makes up the majority of the revenue for school districts in my state. That levy can only go up by law 2% yoy without an exemption from the state (which is difficult to secure). And with property values declining due to higher interest rates, the landscape of the levy itself is going to change drastically, putting much more burden on commercial property than residential (which doesn't bode well for a struggling local economy).
  - midoridensha 4y ago
    >The property tax levy is fixed year to year, and makes up the majority of the revenue for school districts in my state. I'm sorry, I don't understand this. What do you mean by "levy"? Every place I've ever seen had property taxes based on assessed property values; there was a tax rate, which is a percentage of the property value. (And yes, the assessed value is almost always lower than the market value, but it still rises with the market values.) Property values have shot up tremendously over the past ~5 years, so local governments have gotten a windfall in property tax revenues. Did they use this to pay teachers better and make the teaching profession more attractive? No. Now, all of a sudden, property values are declining and you're complaining about revenues falling?

midoridensha 4y ago

The tax rate doesn't need to go up: with the same tax rate, the revenues will increase with inflation because the costs of things will go up, so of course the amount of tax will also go up. Governments simply don't want to pay enough to attract and retain talent, inflation or not.

debacle 4y ago
I am highly involved in local and statewide policymaking in this field. The property tax levy is fixed year to year, and makes up the majority of the revenue for school districts in my state. That levy can only go up by law 2% yoy without an exemption from the state (which is difficult to secure). And with property values declining due to higher interest rates, the landscape of the levy itself is going to change drastically, putting much more burden on commercial property than residential (which doesn't bode well for a struggling local economy).
- midoridensha 4y ago
  >The property tax levy is fixed year to year, and makes up the majority of the revenue for school districts in my state. I'm sorry, I don't understand this. What do you mean by "levy"? Every place I've ever seen had property taxes based on assessed property values; there was a tax rate, which is a percentage of the property value. (And yes, the assessed value is almost always lower than the market value, but it still rises with the market values.) Property values have shot up tremendously over the past ~5 years, so local governments have gotten a windfall in property tax revenues. Did they use this to pay teachers better and make the teaching profession more attractive? No. Now, all of a sudden, property values are declining and you're complaining about revenues falling?