What Educators Can Expect During School Budget Shortfalls

As districts face financial strain, educators often feel the impact first. Here’s what to expect—and why understanding your contract is key to navigating uncertainty.
Illustration by John Kilpper

This summer, as educators walk away from their classrooms and campuses for a long-awaited and much-needed break, school board members will walk toward the boardroom to make difficult financial decisions that can have long-term impacts on students, families, educators, and entire communities.

The topic of school finance looms year-round. On a large scale, we see it in the news and in our social media feeds. Almost always, the news is discouraging—reductions in force, school closures, and districts adopting deficit budgets, then asking educators to do more with less.

It is important to understand how districts have arrived at this place and what needs to happen to move forward, but that is not the purpose of this article. Our objective here is to address what educators, who often suffer the most in these situations, can expect to experience when their district has budget problems.

Staffing Changes and Workload Increases

Perhaps most obviously, teachers can expect larger classes and more preps, and all employees can experience a more substantial workload due to staffing cuts.

Often, districts will first eliminate at-will positions and terminate at-will employees as doing so can result in some immediate financial relief. Districts will also often nonrenew probationary contract employees as a first line of defense because doing so does not require the district to show cause for the nonrenewal.

Districts may make the difficult choice to close campuses entirely or reduce or eliminate entire programs—such as athletics, fine arts, career and technical education, and other noncore curriculum programs. Affected contractual employees may be nonrenewed because of a program change or reassigned if there are placements on other campuses.

Being reassigned without regard to placement preferences is not ideal, but it’s often the only way to retain employment in the district under these circumstances.

Contract Awareness and Assignment Flexibility

It is always a good idea to know what kind of contract you have been issued by the district. Is it a term contract or probationary? What is the professional capacity noted?

Usually, those in nontraditional teaching roles, such as content specialists, dyslexia teachers, or instructional coaches, may be reassigned to classroom teaching positions. Districts may also direct teachers to obtain additional certifications, even if not required by the state.

Districts value flexibility in assignments, especially during a budget deficit. Knowing your contractual rights, as well as understanding the district’s authority under the contract, can help when changes are implemented quickly.

Compensation and Resource Challenges

Educators, particularly teachers, may take a financial hit with the reduction or removal of stipends. Because most stipends are locally created and funded, teachers may lose supplemental duty stipends, such as department chair, club sponsor, or tutoring, to name a few, often with an expectation that they continue the supplemental duty without pay.

Stipends tied to certain teaching assignments may also be eliminated. While districts often implement local raises annually, they are not required to do so. Districts cannot reduce a contractual employee’s pay without appropriate notice, but they are not required to raise pay between school years. Hiring freezes followed by pay freezes are common during a budget crisis.

On a micro level, educators experience daily supply, technology, and facilities issues that are often felt more acutely during a deficit. Campus budgets may be cut to a bare minimum, leaving technology, equipment, and facilities needs unmet.

Educators should not have to rely on their own resiliency in these situations, but often they do, all while getting the job done and making it look easy.

Communication Matters

Ideally, districts would plan well in advance for any major changes and communicate clearly with affected staff so educators can make informed decisions. Straightforward communication and timely information by the district can help reduce much of the stress that often comes with change.   

The ATPE Member Legal Services Department can provide advice to eligible members.

The legal information provided here is accurate as of the date of publication. It is provided here for informative purposes only. Individual legal situations vary greatly, and readers needing individual legal advice should consult directly with an attorney. Eligible ATPE members may contact the ATPE Member Legal Services Department.

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