Victorian Premier Jacinta Allan Faces Backlash Over Slow Teacher Pay Progress

Understanding the Ongoing Stalemate in Victorian Teacher Pay Negotiations

Months after the historic March 24, 2026, strike involving over 35,000 public school educators—the first major walkout in 13 years—the pay dispute between Victorian teachers and the state government remains unresolved. Public school teachers, principals, and education support staff, represented by the Australian Education Union (AEU) Victoria branch, continue to push for substantial improvements amid accusations that Premier Jacinta Allan is moving too slowly to address critical concerns. This impasse highlights deeper challenges in Victoria's public education system, where stagnant salaries contribute to workforce shortages and declining morale.

The Australian Education Union, the primary union for government school employees, lodged its log of claims in mid-2025, demanding a 35 percent pay increase over four years. This figure aims to offset inflation-eroded wages—teachers have faced an estimated 11 percent real-terms cut since 2021—and close the gap with higher-paying states. The Allan Labor government's counteroffer of around 17 to 18 percent, structured as an initial eight percent rise followed by three percent annual increments, was rejected outright. Union president Justin Mullaly emphasized that the proposal fails to value educators adequately, especially given unpaid overtime averaging 12 hours weekly per teacher.

📊 A Detailed Timeline of the Teacher Pay Dispute

Negotiations kicked off formally in July 2025, following the expiration of the previous Victorian Government Schools Agreement (VGSA). By January 2026, the AEU escalated with an industrial action vote, passing overwhelmingly at 98 percent. The government's first formal pay offer arrived only in March, after eight months of talks, prompting the massive strike that shut or disrupted 500 schools statewide.

Post-strike, both sides returned to the bargaining table, but progress has been glacial. Premier Allan publicly described her government's offer as a 'strong' package with the 'best national conditions,' urging educators to prioritize students over disruption. However, with no new deal by early April 2026, frustration mounts. Teachers report border-hopping to New South Wales for immediate $15,000-plus salary boosts, exacerbating Victoria's teacher shortages.

• July 2025: AEU submits log of claims, including 35% pay rise, smaller class sizes (max 25-26 students), and more support staff.
• January 2026: 98% vote for industrial action.
• March 16, 2026: Government tables 17-18% offer.
• March 24, 2026: Statewide strike; 35,000+ participate.
• April 2026: Ongoing talks, no resolution.

Victorian Teachers: Lowest Paid in Australia

Victoria's public school teachers earn the least nationally, a fact underscored by independent reports. Entry-level classroom teachers start at $79,589 annually (2025 figures), compared to $90,177 in New South Wales—a 16.7 percent deficit. Experienced teachers top out at $118,063 versus $129,536 interstate (13 percent gap). By 2026 projections, these disparities persist: entry-level around $92,882 in Victoria against higher NSW scales.

AEU Comparative Salaries Report details these benchmarks, projecting sustained shortfalls without intervention. Other states like the Northern Territory even outpace NSW in some bands.

Retention Crisis: Teachers Fleeing for Better Pay

Low pay directly fuels Victoria's teacher retention woes. The 2024 Victorian Teacher Workforce Snapshot reveals 135,416 registered school teachers, with attrition rates at 4.1 percent overall—higher in secondary government schools (7.7 percent). Shortages hit hardest in rural areas and subjects like languages, VET, and generalist primary, with 2,164 Permissions to Teach issued amid unmet demand.

Educators cite pay as a tipping point; many relocate interstate. A Wodonga teacher could earn $15,359 more in Albury, NSW, simply by crossing the border. Regional incentives up to $50,000 help marginally, but don't offset base salary gaps. Recent research shows only 30 percent of public school educators plan to stay until retirement, linking exodus to uncompetitive wages and burnout.

Beyond Pay: Workload and Classroom Pressures

The dispute transcends salaries. Teachers average 12.4 unpaid hours weekly on admin, planning, and student support. Class sizes exceed 25-26 students, straining resources amid allied health shortages. A 2025 national study found 90 percent of Australian teachers stressed, 70 percent deeming workloads unsustainable. Victoria's prescriptive reporting and curriculum demands amplify this, eroding professional autonomy.

The AEU seeks caps on class sizes, more education support staff, and allied health investments—echoing NSW models. Government responses include simplified reports, but unions argue these are bandaids on systemic underfunding, including a $2.4 billion cut from promised school budgets.

Stakeholder Perspectives: Union, Government, and Beyond

AEU's Mullaly accuses the government of devaluing educators: 'Treat school staff like NSW does.' Premier Allan counters that her offer is generous, highlighting 'best national conditions' and budget constraints from debt. Education Minister Ben Carroll stresses negotiation willingness but blames union militancy.

Principals back the strike, facing leadership pay gaps (18 percent behind NSW). Parents express mixed views: disruption harms students, yet many support fair pay for quality education. Opposition criticizes Labor's financial mismanagement, prioritizing megaprojects over schools.

Real-World Impacts on Victorian Schools and Students

Short-staffed classrooms mean larger groups, fewer electives, and reliance on casual relief teachers (CRTs). Rural schools suffer most, with higher CRT use. Student outcomes risk decline; teacher quality correlates with achievement, per longitudinal studies. Early childhood and TAFE sectors echo K-12 woes, with kinder educators striking separately over similar pay lags.

Case study: A Melbourne secondary school merged classes post-strike, delaying specialist subjects. Regional primaries report 20 percent vacancies, forcing multi-grade teaching.

Funding Shortfalls Fueling the Fire

Victoria touts itself as the 'Education State,' yet ranks lowest-funded nationally. Promised needs-based funding was slashed, prompting AEU protests. Budget pressures from $157 billion debt limit rises, but unions demand prioritization. Interstate examples: NSW's 20 percent police deal sets precedents teachers seek.

The Conversation analysis links underfunding to pay stagnation and shortages.

Potential Solutions and Paths Forward

• Independent arbitration via Fair Work Commission.
• Phased pay alignment with NSW over 4-5 years.
• Workload audits and class size legislation.
• Retention bonuses tied to regional service.
• Funding restoration per Gonski needs-based model.

Constructive dialogue, perhaps with parent-principal input, could bridge gaps. Precedents like Queensland's 2025 strike resolution offer hope.

Future Outlook for Victorian Educators

Without swift action, shortages could worsen, with supply projected to match demand only by 2030 under optimistic scenarios. Premier Allan's leadership faces scrutiny ahead of elections; resolving this bolsters her 'Education State' credentials. For teachers, opportunities abound interstate or in private schools offering 37 percent rises.

Optimism persists: sustained pressure may yield gains, ensuring Victoria's 800,000+ public school students receive world-class education.

ABC News on strike buildup provides further context.