Background to the AEU Victoria Pay Dispute
The Australian Education Union Victorian Branch, commonly known as AEU Victoria, represents over 52,000 teachers, principals, and education support staff in Victoria's public schools. In mid-2025, as the previous enterprise bargaining agreement neared its end, the union submitted a bold log of claims for the next Victorian Government Schools Agreement, or VGSA. This document, shaped by input from 716 sub-branches and tens of thousands of members, called for transformative changes to address longstanding issues in public education.
Central to these demands was a 35 percent pay increase for all public school staff over the life of the agreement, typically spanning three to four years. This figure was not arbitrary; it aimed to close the gap with higher-paying states like New South Wales, tackle workforce shortages, and compensate for years of real wage erosion due to inflation outpacing previous pay deals. Negotiations with the Victorian Department of Education began around July 2025, but progress stalled, leading to escalating tensions.
Key Demands Beyond Pay: Workload and Classroom Supports
While the headline-grabbing 35 percent pay rise drew media attention, the AEU's log of claims encompassed broader reforms essential for sustainable public schooling. These included reducing average class sizes to allow greater individual attention—proposing caps around 25 to 26 students in primary and secondary levels. Increased allied health professionals, such as psychologists and speech therapists, and more classroom support aides were prioritized to meet the diverse needs of students, particularly those with disabilities or from disadvantaged backgrounds.
Workload reductions formed another pillar, targeting excessive administrative burdens and unpaid overtime, which surveys showed averaging over $27,000 annually per teacher in some cases. The union sought modern, flexible working arrangements, including doubling student-free days from five to ten for professional development and planning. These measures, union leaders argued, would improve teacher retention and student outcomes in Victoria's under-resourced public schools.
Salary Disparities: Why Victoria Lags Behind Other States
Victorian public school staff are the lowest paid in Australia, a fact underscored by the AEU's comparative salary report for 2025 and 2026. For entry-level graduate teachers, Victoria offered $79,589 in 2025, compared to $90,177 in New South Wales—a 13 to 17 percent shortfall. Experienced teachers at the top increment earned $118,063 in Victoria versus $129,536 in NSW, with similar gaps to the ACT ($129,106), Northern Territory ($131,349), and Western Australia ($132,557).
Education support roles showed even starker divides: entry-level classroom support in Victoria at $56,580 trailed NSW's $60,674, while business managers faced a 35 percent gap ($73,467 vs. $96,517). School psychologists at top levels were 40 percent behind. This border anomaly means a teacher in Wodonga, Victoria, could earn $15,359 more annually—$295 weekly—by crossing to Albury, NSW. Such disparities fuel interstate poaching and exacerbate Victoria's teacher shortage crisis.Full salary comparison report.
The Government's Offer and Union Rejection
After eight months of talks, the Victorian government tabled its first formal offer in March 2026: approximately 17 to 18.5 percent total pay increases over four years. This broke down to an 8 percent rise for teachers and 4 percent for education support staff from April 2026, followed by 3 percent annually, plus a 1.5 percent overtime allowance and an extra student-free day. Education Minister Ben Carroll hailed it as delivering "the best conditions in the nation," with low student-teacher ratios.
AEU Victorian Branch President Justin Mullaly dismissed it as inadequate, noting it failed to address workloads, shortages, or parity with other states. "Teachers want to work with children, but they're forced to strike when undervalued," he stated. With 98 percent of members voting yes in a Fair Work Commission ballot, industrial action was authorized.
Historic Strike: March 24, 2026
On March 24, 2026—Victoria's first statewide teacher strike in 13 years—over 35,000 educators, principals, and support staff walked off the job. Rallies converged on Melbourne's Trades Hall before a massive march to Parliament House, halting the CBD. Up to 500 schools closed fully or operated minimally, with hybrid supervision for limited students. Parkville College, serving youth justice, lost over half its staff.
Parents were urged not to send children, prioritizing safety amid shortages of casual relief teachers. The action highlighted the crisis: only 30 percent of staff plan to stay until retirement, with 40 percent uncertain. Premier Jacinta Allan urged negotiation over disruption, but the union vowed escalation without concessions.Guardian strike explainer.
Workforce Shortages and Retention Challenges
Victoria's public schools face acute shortages, with thousands of vacancies in hard-to-staff subjects like math, science, and special education. Low pay drives graduates interstate or to private sectors; recent AEU data shows surging memberships as disillusioned staff seek collective strength. Excessive workloads—planning, marking, pastoral care—compound burnout, especially post-pandemic.
- Only 3 in 10 staff intend long-term careers in Victorian public schools.
- Nearly 40 percent are unsure about staying.
- Unpaid overtime equivalents exceed $27,000 per teacher yearly.
- Class sizes average 24-28, straining individualized support.
These factors undermine Victoria's self-proclaimed "Education State" status, where public school funding trails national needs.
Stakeholder Perspectives: Union, Government, and Beyond
The AEU frames the dispute as essential for equity, quoting Mullaly: "Victorian students succeed when staff are supported." Government counters with fiscal prudence amid budget pressures, emphasizing ongoing talks—three sessions weekly post-strike. Principals, via groups like the Victorian Principals Association, echo workload pleas, while parents express mixed views: support for fair pay but concern over disruptions.
Independent analysts note inflation since 2021 has eroded prior deals by 11 percent in real terms, validating union claims. Cross-state comparisons reveal NSW's recent 12.5 percent deal set benchmarks, pressuring Victoria.ABC on offer rejection.
Post-Strike Developments and Future Strikes
As of April 2026, no deal is reached. The union plans rolling half-day strikes in Term 2, targeting regions for maximum impact without full closures. Negotiations continue, but AEU members remain resolute. A parliamentary inquiry probes delayed $2.4 billion funding to 2031, potentially influencing outcomes.
TAFE staff, also AEU members, pursue parallel claims including 35 percent rises, though focused separately on vocational training.
Implications for Students and Schools
Strikes disrupt learning, but proponents argue they spotlight systemic underfunding. Larger classes and fewer supports hinder vulnerable students—those in low-SES areas or with additional needs. Improved conditions could boost outcomes: smaller classes correlate with 5-10 percent gains in literacy/math per research.
For early childhood and K-12, parity would stabilize staffing, enhancing transitions and equity.
Outlook: Paths to Resolution and Opportunities
Resolution may involve compromise: 25-30 percent pay phased over four years, workload pilots, and targeted funding. Historical EBAs averaged 12-15 percent; union pressure could exceed this. Teachers eyeing Victoria should monitor: attractive lifestyle offsets pay, with jobs abundant in growth corridors like outer Melbourne.
Aspiring educators can prepare via graduate programs; current staff, engage AEU for updates. A fair deal would reaffirm public education's value, benefiting 800,000+ Victorian students.
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