What is differentiated compensation?
Different levels of effectiveness, skill and performance should be recognized through different levels in compensation. Differentiated compensation for this program refers to a system of pay that is not exclusively defined by a career ladder or longevity in a job but rather by quality and effectiveness of performance. The differentiated compensation must be based primarily on improved student achievement at the school and classroom levels, and must also (a) consider classroom evaluations conducted multiple times during each school year and (b) provide educators with incentives to take on additional responsibilities and leadership roles. Beyond these statutory requirements, the differentiated compensation also may take into consideration such other factors as assignments in hard-to-staff subjects or schools.