The new three year contract between Danville teachers and the school board was agreed to in the unprecedented time of one day. The quick pace was needed to get a contract in place before the Governor signs a new law that limits retirement benefits to teachers. According to the Illinois Teachers’ Retirement website, pensions are calculated on the average of a teacher’s highest four consecutive years of salary within the final 10 years of service. Districts could offer a maximum annual 6 percent salary increase without paying a TRS penalty.
But under the new state spending plan, that rate would be changed to 3 percent, and it would be effective immediately. Those with contracts in place prior to the signing will be grandfathered in. This keep the district from having to pay “significant” penalties for retirees under new Teacher Retirement System caps.
The agreement was reached after a marathon bargaining session and special meetings of the school board and the teacher over the weekend. The terms of the contract allows for an average of a 5 percent pay increase for teachers and other staff the first year, 4 percent the second year and 4 percent the third year. The Danville Education Association represents about 600 certified and non-certified staff members.
In a separate meeting an hour after the first school board meeting on Sunday, board members set salary increases of a little less than 5 percent on average for 30 administrators, including the superintendent, assistant superintendents, principals, assistant principals and deans.