HIDOE releases independent study on teacher compensation

News Release from HIDOE, Oct 9, 2025

The Hawai‘i State Department of Education (HIDOE) today released the results of an in-depth, independent study of its teacher compensation system. Conducted by the national consulting firm Experience Management Institute (EXMI), the Compensation Impact Study provides a detailed analysis of teacher pay structures, equity and competitiveness, along with recommendations for modernization.

“This study confirms that recent changes—the one-time adjustments to teachers’ salaries in 2022 to recognize experience and adding another ‘class’ in the salary schedule to provide teachers the option to increase salary based on education and training—are resulting in market-competitive compensation,” Superintendent Keith Hayashi said. “We have more work to do to ensure that our compensation system and practices attract more residents to the teaching profession. If we want them to stay, grow and feel supported, we need to honor their work and invest in their future.”

(CLUE:  All of these gains came from outside the collective bargaining system.  Why do teachers need the HSTA?)

The scope of the study extended beyond salary analysis, examining how Hawai‘i attracts, supports and retains high-quality educators. At a time when teacher shortages are affecting schools across the country, the Department sought an independent review of the systems shaping educator recruitment, retention and career sustainability, as well as the impact of $55 million in 2024 to address salary schedule compression, thanks to the financial support of the Hawai‘i State Legislature and Gov. Josh Green.

EXMI’s report was commissioned in alignment with Senate Concurrent Resolution 142 (Session Laws of Hawai‘i, 2024) and Priority II of the 2023–2029 Board of Education Strategic Plan, both of which emphasize strengthening the teacher workforce as a core priority.

More than 4,200 teachers and administrators participated in the study through surveys, interviews and listening sessions. Their insights helped shape a set of practical, research-based recommendations.

Key Findings

Hawai‘i’s teacher salary, on average, is competitive in the market. The average teacher salary ($78,124) is slightly above the market midpoint, compared to other school districts when considered as an hourly wage and adjusted for local labor costs. Beginning 10-month teachers ($53,390-$71,503, depending on level of education and training) are slightly above the market midpoint, while more experienced teachers are slightly below the market midpoint. The new “Class VIII” option, starting this year, provides teachers with the opportunity to increase their salary based on training and professional development. The new class will bring mid-career and veteran teachers to the midpoint in the market; the top of teachers’ salary range is $101,861 for 10-month teachers and $121,943 for 12-month teachers.

However, base pay is a top concern because of cost of living. While teacher salaries are competitive in the market, 94% said their salaries do not keep up with the cost of living in Hawai‘i and are a significant source of stress and dissatisfaction with their wages.

Salary progression lacks predictability. Teachers report uncertainty about how and when pay increases occur, as step movements are negotiated, and they lack familiarity with advancement policies that increase salary based on relevant education and training.

Differentials show mixed results. The highest levels of differentials for teaching special education ($10,000) or in hard-to-staff locations ($8,000) improved teacher retention. However, differentials at lower amounts did not have an impact on recruitment or retention. Additionally, many teachers are unclear about the eligibility criteria.

Compression fixes had limited reach. In 2022, the state invested $55 million to address salary compression among teachers. Most veteran teachers received a one-time salary adjustment to align their compensation with years of recognized service or a one-time bonus for teachers at the top of the salary schedule. However, many experienced educators felt that their full-service time was not acknowledged and remain unsatisfied with their compensation.

Retention remains a challenge. Nearly 40% of teachers surveyed said they may leave the classroom within three years, highlighting the need for stronger long-term strategies.

The study’s authors, EXMI, presented findings to leaders from the legislature, the Board of Education, the state Department of Human Resource Development, HIDOE and the Hawai‘i State Teachers Association. HIDOE and HSTA have agreed to establish a joint workgroup to discuss the challenges highlighted by the study and EXMI’s recommendations, and to prioritize actionable steps to strengthen information sharing and communication to support employees.

EXMI also presented some of its findings and recommendations to the Board of Education Thursday. The presentation is available here, and the full study can be accessed at: https://go.hidoe.us/TeacherCompensationStudy.