Houston ISD’s New Compensation Plan
Houston ISD has released its compensation plan for the 2025-26 school year, which will use increased state funding to boost teacher pay. The plan has sparked controversy, particularly among the district’s teachers, as it will determine raises based on performance-based incentives instead of experience.
Background
The pay increases for HISD teachers are possible due to the passage of House Bill 2 during the recent Texas legislative session. Lawmakers provided about $8.5 billion in state funding for public education and raised the basic per-student allotment for schools across the state. While other large school districts in the Houston region, such as Katy ISD, Fort Bend ISD, and Cy-Fair ISD, will increase their teachers’ salaries based on experience, HISD has opted for a performance-based approach.
Performance-Based Pay
The performance-based pay will be determined using HISD’s existing evaluation system for teachers. Starting next year, HISD will use the locally created Teacher Excellence System, with a plan to tie those evaluations to a pay-for-performance compensation model beginning with the 2026-27 school year. This decision has been met with backlash from the district’s largest teachers’ union, the Houston Federation of Teachers.
Reaction from Teachers’ Union
Houston Federation of Teachers President Jackie Anderson expressed disappointment with the decision, stating that the federation would be exploring legal options. "We are deeply disappointed by the decision of the HISD superintendent and board of managers to do as they wish with the money allocated by the state for teachers," she said. "We will be seeking legal counsel to help determine the legality of the decision of the district."
Pay Increases for NES Schools
The New Education System (NES) is an instructional reform model implemented by state-appointed Superintendent Mike Miles at roughly half of the district’s schools, most of which are historically underperforming. Higher-performing campuses that are not part of NES have more instructional autonomy and lower teacher pay on average. According to the compensation plan for 2025-26, the new starting salary for NES teachers with 0-2 years of experience ranges from $64,000 for elective elementary school teachers to $90,000 for English I pre-AP teachers.
Pay Increases for Non-NES Schools
The starting 10-month salary at non-NES schools will range from $63,000 for a teacher currently pursuing their certification to $89,500 for a teacher with 40 years of experience. Under this pay scale, teachers with 5 years of experience would receive a base salary of $66,000, those with 10 years would receive $69,000, and those with 20 years would receive $74,500. An incremental pay increase is included for every additional year of experience from 0-40 years.
Performance-Based Merit Increases
Teachers at both NES and non-NES schools will be eligible for performance-based merit increases based on their Texas Teacher Evaluation and Support System (T-TESS) score from the 2024-25 school year. The merit increases for non-NES schools will be higher than those at NES campuses.
Conclusion
The new compensation plan for Houston ISD has sparked controversy among teachers and the teachers’ union. While the plan aims to boost teacher pay using increased state funding, the performance-based approach has raised concerns about fairness and equality. As the district moves forward with the new plan, it will be important to monitor its impact on teacher morale, retention, and student outcomes. Ultimately, the success of the plan will depend on its ability to attract and retain top talent in the district, while also providing a fair and equitable compensation system for all teachers.



