The Anchorage School District has come to an impasse in its contract negotiations with the Anchorage Education Association.
The district has negotiated in good faith with the teachers’ union for nine months without reaching an agreement. Both have agreed on the less important contract items, but the big sticklers are the highest cost items to the taxpayer – increases in both salary and health insurance premiums.
The current contract has expired, so this contract would cover the current school year. If the union gets its way, the district will need to produce the funding or slash personnel. The district says it has already cut all the fat, and any more reductions would affect the classroom.
Additionally, the teachers’ union wants only a one-year contract, while the district desires a more predictable three-year contract. A one-year contract is insufficient for the district to plan its budget.
If the district caves to these demands, the taxpayers will be on the hook for another $69,418,211 in one year.
How far apart can they be? Surely, the opposing demands must be close to reasonable.
I hardly think so. The union wants a 15% increase in salaries for one year! And that’s not all. The union also wants another $2,100/union member from the district to pay for health insurance.
While Anchorage Education Association (AEA) members already have gold plated health insurance, it seems they want to go to the platinum level.
AEA union members would cost the district more than $25,000 each for health insurance. And remember, those health insurance dollars go directly to the Public Employee Health Trust, which is associated with the teachers’ union, with no oversight from the district on what those funds are spent on.
Just trust the teachers’ union to only spend those dollars on medical claims.
Here is a financial summary of the union and district costs: The teachers’ union wants a whopping 19.2% increase in salaries, benefits and other items for one year. This amounts to an increased cost of $23,863 per full time equivalent (FTE). Do you know of anyone who received an increase of more than 19% in just one year? I can hardly wait for the union demands next year.
If the district caves to these demands, the taxpayers will be on the hook for another $69,418,211 in one year. And with anticipated mediation, management rarely wins.
Where will the money come from?
How about the Permanent Fund Dividend? That’s a good source. How much of your PFD are you willing to pay for the 19.2% increase in teacher union salaries and benefits? At last year’s PFD of $1,400, each union member would get more than 17 PFDs ($23,863/$1,400).
How about state income taxes or state sales taxes? How about a statewide property tax?
All the above revenue sources could be used to pay off the teachers’ union.
Another option – if the union succeeds in extorting $69 million from the district – is to lay off teacher union members. To reach $69 million, the district would have to lay off hundreds of teachers who are currently budgeted at $110,000 each.
Negotiations now have gone to a third-party mediator. This could spell doom for the district and taxpayers, as well as many district employees.
So, the big squeeze is on. Will the district cave to the union and pinch taxpayers and the state’s budget for more funding?
ALASKA WATCHMAN DIRECT TO YOUR INBOX
And how many district employees will be laid off to pay for the increased salaries and benefits?
What’s next? A teachers’ union strike? A walkout? Hundreds of pink slipped teachers?
Remember, the district says it has cut costs to the proverbial bone, and maintains there is no more fat.
And this $69 million is for the current school year, which has already begun. Is the teacher’s union setting the stage for a huge Base Student Allocation (BSA) in the legislature in January 2026?
The AEA cannot have it both ways – a $69 million cost to the district, plus retaining all its members.
It appears as if the union may sacrifice some members and reward others.
Get ready for a teachers’ strike, more cries of “Raise the BSA,” and prepare for taxes and no PFD.
The views expressed here are those of the author.
10 Comments
When scores for students have been at the bottom rung of the ladder in all states for the last 40 years, tell me why teachers should get a raise? We have a governor who taught in those times and refuses to acknowledge his responsibility in those years and those scores. Why should teachers today get raises when their performances are evident in those scores the students are testing out at? We don’t give more money for a lousy job of teaching. Show performance!
Diana you are so right. These public teachers suck at their job. Yes, Alaska is at the bottom.
Diana you are so right. These public teachers suck at
their job. Yes, Alaska is at the bottom.
Considering it for years, the teachers have gotten one percent or 3% at the maximum race. I think they’re right to ask for 20%. The blame cannot be fully put on the teachers for test scores. It can be put on the fact that the idiots in the head shed have no idea what should be talked in the classroom and they pick these canned programs that are written by Looney leftist who are not educators Instead of letting teachers teach as they’re taught they give them scripts to read. Tell them to focus on social emotional garbage instead of an education and indoctrinate students at the elementary level so they go in the middle school, not being able to read a ruler and do basic math or even read. Education needs to go back to the basics, especially at the elementary level and throw out all the other garbage. It’s time to focus on academics reading, writing, arithmetic, civics, American history, constitution. It’s also time to clear out the head shed. Maybe one thing we could do is/the superintendent salary cause I don’t know what he gets paid to do. I don’t really think he does anything. Maybe make parents pay for sports and use that money in the classroom. People don’t seem to understand that it’s OK to spend $300 for 15 minutes with the doctor or more yet teachers who are educating our children aren’t worth that? I think teachers are worth more than doctors. If you’ve never taught, you don’t know what it’s like in the classroom.
When teachers start working 12 months a year I’ll shed some tears too, but they’ll fight tooth and nail to keep the plush school schedule they have. I have no sympathy for teachers. If they were really worth what they think they are they’d ditch their unions and go private. With what the government pays per student a teacher would only have to take on 20 students, rent a building, buy some insurance, teach, and have a hefty annual salary. But they won’t, it’s too much work!
However… The ROI (return on investment) of education is depressing. Why is it Alaska is in the top 10 for spending per student, but 48th in student test scores..? For what we are paying, we are not getting a finished product. We put the blame on the DOE, districts, unions and the teachers themselves. I also shovel blame on the parents for not being active participants in their student’s education and not holding school districts responsible. Sadly, it’s all about how much money can we extract for our paychecks and healthcare, damn the students.
Call their bluff. How many teachers will go on strike for any length of time, and lose all those lovely benefits, not to mention a steady paycheck? They might stick it out for a couple of weeks, but I will bet you once the snow flies and things get tight in the household budgets, they might not like it any more. Better yet, fire them, like Reagan did the air traffic controllers. They apparently can’t teach very well anyway. Hire some retired professionals to teach these kids. They only need to stay one grade ahead of what they teach, and they would demand better conditions and more discipline than these whiny teachers. It certainly couldn’t be worse.
MT BOYLE, YOUR CHEARLEADERS FAGAN AND DOWNING ARE EITHER DEAD OR BENCHED! EFFECTIVELY DEALING WITH THIS CRAP NEEDS ACTUAL ACCOUNTABILITY! WHAT SAY YOU?
DaveM, It is very difficult to get people engaged in K12 education. Many believe moose hunting and fishing are more important. But when you look at what’s happening in America today, the division, strife, belief in socialism, etc, one must ask why is this happening. It starts in our K12 system and is cultivated even more in our university systems. We are growing Marxists and socialists with our wealth. I have held the ASD as accountable as I can. I am only one person. I have testified to the deaf school board. I do Open Records requests and am usually met with silence after the 10 day requirement to answer. That is a huge problem–there are no penalties for a government agency to NOT respond. That needs fixing. But does anyone expect that to happen with our legislature? No! I will continue to hold our K12 system accountable for results because I love America.
The district asking for more money is no different then placing gold rings in a pigs snout.