ANDERSON, Ind. — The district is paying out $375,000 in buyouts to senior teachers and staff this summer, and school officials say the cost will actually save money in the long run.
The retirement incentive is part of the recently approved teachers contract and allows Anderson Community School Corporation teachers or staff members over the age of 50 with 15 years of service to receive $15,000 if they retire at the end of this year.
ACS Personnel Director Beth Clark said 23 teachers and two staff members took the buyout and chose to notify the district of their retirement intentions by the April 1 deadline.
Anderson Federation of Teachers President Tom Forkner said the savings to the district come when salaries of retirees are compared with those teachers who will fill the spots vacated by the incentive.
Teachers who have worked for the district more than 19 years earn the most, he said. The list of retirees includes 21 teachers or staff members with 20-plus years of experience.
Forkner said a teacher with that much experience would likely make more than $57,000 per year and the younger teachers replacing them would earn significantly less, resulting in a long-term cost savings to ACS.
ACS school board President Scott Green said the incentive ensured that teachers would approve the contract.
The contract, he said, will save the district $4.5 million for the next five years, resulting in a total savings of $22 million.
“If we can put out one time $400,000 to save $22 million, it’s all part of the larger picture,” Green said.
“It does look like a big chunk up front,” Green said. “The long-term strategic plan is a five-year strategy to balance the budget.”
Green said the buyout is a short-term loss that will result in a long-term gain.
In 2009, ACS paid 49 teachers $25,000 apiece to retire, a controversial move that cost the district $1,225,000.
Forkner said the buyout also helped reduce the number of teachers who will be laid off this year.
Originally, 140 layoff notices went out to teachers this spring. This Monday, ACS sent 97 second-notice pink slips, representing a 43-teacher reduction in the number of those being laid off.
Forkner said 23 of those teaching jobs were saved by the buyout. The final number of actual layoffs will be determined by student enrollment for the fall.
© 2024 Community Newspaper Holdings, Inc.