Last night, Channel 11 WTVD ran a story on my article on NCAE executive compensation.
In reference to our assertion that NCAE executive compensation has increased 24 percent between 2006 and 2009, NCAE Business Affairs manager Tom Herbert says the figure is accurate. However, Herbert says what’s important is what drives those numbers, which he points out was increased compensation for retirement benefits.
Yes, its true NCAE executives had larger compensation (29 percent) than salary increases (20 percent). However, I fail to see Mr. Herbert’s point that “our numbers our misleading.” The numbers are higher simply because NCAE executives had guaranteed rates of return on their retirement programs. Additional payments needed to be made to compensate for declines in the value of the stock market. Those higher compensation levels reflect the true costs of the gold-plated retirement programs available to NCAE executives, but not available to rank-and-file teachers.
NCAE Vice President Rodney Ellis says “NCAE has never employed 135 people” Our figure is from line 5 of the attached NCAE 990 Tax Form. A copy of the relevant page is available here. That form was completed and submitted to the IRS by NCAE officials earlier this year.
It is important to note that NCAE does not quibble with our main point: from 2006 to 2009, the rate of NCAE executive compensation has significantly outpaced average teacher compensation.
I wonder if teachers are happy watching NCAE executives receive guaranteed returns on retirement income and ever-growing compensation packages while they face budget reductions at school, a third year with no salary increase, and further declines in the value of their retirement accounts?
Ask them.
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