Education Funding

Schools Have No Handle on $7 Billion Cost of Teacher Turnover, Study Finds

By Vaishali Honawar — June 20, 2007 3 min read
  • Save to favorites
  • Print

Teacher turnover is “spiraling out of control” and is estimated to have cost the nation more than $7 billion in the 2003-04 school year alone, asserts a report released today.

The study from the Washington-based National Commission on Teaching and America’s Future says that despite the staggering expense, virtually no school district now has systems in place to track or control such turnover.

The last attempt to put a price tag on teacher attrition, long acknowledged as a resource drain, was a 2005 report from the Washington-based Alliance for Excellent Education, which came up with the more modest but still hefty estimate of $4.9 billion.

NCTAF officials say their figure of $7.3 billion is higher because it is based on an increased teacher workforce and a slightly higher attrition rate.

Tom Carroll, the president of NCTAF, said that since the time period covered in the alliance’s survey, the teacher-turnover rate has grown from 16 percent to 17 percent—an increase that is significant given the size of the 3.4 million teacher workforce. For this report, NCTAF defined turnover as teachers who leave a district.

Also, he said, earlier studies have not been based on detailed analyses of actual cost data from districts. Researchers for this report closely examined data for five school districts to come up with the extrapolated national figure of $7.3 billion.

Turnover costs for the five districts studied ranged from $4,366 per teacher who left the rural district of Jemez Valley, N.M., to $17,872 per teacher in Chicago. Chicago spends $86 million on turnover each year. Other districts studied include Granville County, N.C., which spent $9,875, and Milwaukee, which spent $15,325. The cost for Santa Rosa, N.M., was unavailable.Turnover costs were typically based on expenses incurred to recruit, hire, and train teachers.

“Often, it is the high-risk schools that are recruiting and replacing teachers all the time,” Mr. Carroll said. While the dollar cost is significant, he added, what is even worse is that students at such schools do not get the benefit of a stable, experienced teacher workforce.

Solutions Offered

The report makes several recommendations, including a call for the federal government to make the retention of highly effective teachers a focus of the No Child Left Behind Act, which is up for reauthorization this year, and amending the law to hold school leaders accountable for teacher turnover and its costs. Each state and local education agency should be required to report publicly the distribution of qualified teachers, average years of teaching experience in each school, the annual rate of principal and teacher attrition, and the cost of that attrition for each school that it serves, it adds.

It also lays out a series of steps that districts can take to combat attrition: Measure turnover and its costs and then devise a comprehensive human-resource strategy to combat it; invest in comprehensive induction programs; and foster a school culture in which new and experienced teachers work together to improve student achievement.

The report provides an online calculator for districts and schools to estimate their own teacher-turnover costs.

The study includes a handful of examples of districts that have used some or all those steps, with notable success.

For instance, in Clark County, Nev., the fastest-growing district in the country, school officials in the 2002-03 school year used a federal grant to implement a pilot project at 12 schools that had especially high turnover rates—the average teacher tenure at these schools was just 1.9 years. Principals were given a head start in the hiring process and could choose teachers who fit their school improvement plans. The pilot also offered full-time mentoring and slightly higher pay to new teachers.

Three years on, the schools have a teacher-retention rate of between 85 percent and 95 percent, and the program is now being expanded to 27 schools.

Mr. Carroll said that the example of the Clark County district, which includes Las Vegas, offers hope to other districts weighed down by the cost of teacher turnover.

“The good news is that when districts address this problem and take it on directly, when they start to invest in better-prepared teachers and offer them strong support, they can see progress,” he said. “It’s a solvable problem.”

Related Tags:

Events

This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Recruitment & Retention Webinar
Hiring, Retention, and Fill Rates: A Data-Driven Sub Strategy
Explore what keeps substitutes coming back and hear how one district rebuilt its substitute hiring process and improved its fill rate.
Content provided by Frontline Education
Early Childhood K-12 Essentials Forum Early Childhood Education: Building Essential Skills for Success
Join this free virtual event to examine the biggest challenges in supporting young children, from preschool through elementary school. 
This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Student Absenteeism Webinar
Attendance Isn't an Attendance Problem
Boost attendance by strengthening relationships, belonging, and support with practical strategies from Doug Fisher & Nancy Frey.
Content provided by Corwin

EdWeek Top School Jobs

Teacher Jobs
Search over ten thousand teaching jobs nationwide — elementary, middle, high school and more.
View Jobs
Principal Jobs
Find hundreds of jobs for principals, assistant principals, and other school leadership roles.
View Jobs
Administrator Jobs
Over a thousand district-level jobs: superintendents, directors, more.
View Jobs
Support Staff Jobs
Search thousands of jobs, from paraprofessionals to counselors and more.
View Jobs

Read Next

Education Funding Ed. Dept. Risks Letting $180 Million for Research Expire as Deadline Looms
Spending by the agency's research arm has lagged most significantly compared with previous years.
6 min read
Russell Vought, Director of the Office of Management and Budget (OMB) testifies on the OMB budget during a House Appropriations Financial Services and General Government Subcommittee hearing on Capitol Hill in Washington, DC, on June 4, 2025.
Russell Vought, director of the White House Office of Management and Budget, testifies during a House Appropriations subcommittee hearing on Capitol Hill in Washington on June 4, 2025. OMB has been slow to release congressionally appropriated funding to the Institute of Education Sciences, the U.S. Department of Education's research arm. IES now has just weeks to spend $180 million before it expires.
SAUL LOEB / AFP via Getty Images
Education Funding Averting a Shutdown, Congress Punts Federal Spending Decisions to December
Federal funding talks will continue into December as Congress agrees to avoid a shutdown.
2 min read
Speaker of the House Mike Johnson, R-La., arrives for a closed-door meeting with Republican lawmakers as he prepares for a vote on a stopgap spending bill to keep the federal government fully funded through early December, avoiding the possibility of a shutdown before the midterm elections, at the Capitol in Washington, Tuesday, Sept. 1, 2026.
Speaker of the House Mike Johnson, R-La., arrives for a closed-door meeting with Republican lawmakers at the U.S. Capitol on Sept. 1, 2026, as he prepares for a vote on a stopgap spending bill to keep the federal government fully funded through early December, avoiding the possibility of a shutdown before the midterm elections. The continuing resolution carries over the current year's funding levels for education programs into the first two months of the federal fiscal year that starts Oct. 1.
J. Scott Applewhite/AP
Education Funding Education Department Will Keep Sending Most K-12 Funds Through Its Own System
The agency will send formula funds through its own system again despite program shifts to other agencies.
5 min read
A sign from the General Services Administration is posted outside of the Department of Education headquarters in Washington, D.C. on Friday, July 17, 2026.
A sign installed by the General Services Administration is posted outside the Department of Education headquarters in Washington on July 17, 2026. Despite shifting its programs to other agencies, the Education Department will send billions of dollars in formula funds for schools through its own grants portal on Oct. 1, rather than a portal run by the Department of Labor.
Eric Lee for Education Week
Education Funding Video What's in Store for School Funding for 2026-27?
A new education tax credit, federal budget negotiations, and more are in store.
The U.S. Capitol building in Washington, D.C. on Friday, July 17, 2026.
The U.S. Capitol building in Washington, D.C. on Friday, July 17, 2026.
Eric Lee for Education Week