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IPS Invests More than $30M in Increased Employee Compensation Over the Next Two Years

The Indianapolis Public Schools (IPS) Board of School Commissioners unanimously approved the largest teacher pay increase in the district’s history with the ratification of the latest Indianapolis Education Association (IEA) bargaining agreement.

The Board also approved the American Federation of State, County and Municipal Employees (AFSCME) contract.

Together, these two-year agreements not only include increased compensation for district teachers, but also service workers, such as custodians, and food service and transportation employees.

The overall estimated investment for teachers, certified staff and service workers between both contracts is $31 million. In addition to increasing pay, IPS will continue to be efficient in managing operating expenses to sustain pay increases long term.

“IPS is committed to ensuring our employees receive the best compensation possible to bring employees in line with market rate,” said IPS Superintendent Aleesia Johnson. “While we’re not where we want to be, we are moving in the right direction and will continue the push to reward our employees for the remarkable work they do to support the students and families of the district.”

IPS began addressing compensation improvements in December 2018 with raises and bonuses for eligible teachers and service workers. Efforts continue to shift salaries to market rate to solve for previous pay freezes.

“The IEA is very appreciative of Superintendent Aleesia Johnson and the IPS Board of School Commissioners for keeping the promise to increase compensation and benefits with the referendum monies from the November 2018 election,” said IEA President Ronald Swann. “We, the certified staff and IEA members, supported IPS in this endeavor to pass the referendum that was presented to the community to increase teacher funding and are grateful to see substantial pay increases for all teachers.”

“AFSCME Council 962 and Local 661 are pleased with the progress being made to foster a more cooperative relationship between the dedicated employees of IPS and management,” said Vincent Bibbs, local AFSCME president. “In the latest negotiations, action was taken to restore key components of the wage step structure and we are thankful to see all represented units addressed in this contract.”

Raises are expected to go into effect before December 31, 2019.

Details of the IEA and AFSCME contracts:


Review Full IEA Agreement

  • 2-year contract
  • Estimated investment is $30 million
  • Pay Increases
  • New ranges raise starting pay and maximum pay:
    • Year 1: $45,200 to $82,800
    • Year 2: $47,800 to $90,000
  • Raises are based on market adjustment, using level of experience to solve for previous freezes or compression of the model over years.
    • Minimum raise: $2,600
    • Maximum raise: Year 1 – $9,400; Year 2 – $4,200
    • Differences in amounts are based on effectiveness, years of service, high need/hard to staff subject areas (dual credit, STEM, SPED)


Review Full AFSCME Agreement

  • 2-year contract
  • Estimated investment is $1.2 million
  • All groups shifted to market adjustment
    • Custodial: 7.4 percent or average increase of $2,350
    • Food Service: 1.4 percent or average increase of $450
    • Paraprofessional: 3.7 percent or average increase of $1,100
    • Transportation: 2.7 percent or average increase of $1,000