Now will teacher A get more pay if her students score better than teacher B’s students on state testing?
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I hope not! Other factors, mainly the ones you mentioned but also the improvement shown by both sets of students, need to be figured into the assesment. (Besides, many teachers would consider A’s workload and kind of students reward enough! : ) )
I think that it is based on the progress of students. But I personally don’t think this would be fair to the Gifted teacher. How much more are they going to be able to learn? A lower student has more to grow.