Circular 2023/02 - Settlement of the Primary Principals' (PPCBU) Collective Agreement 2022-2024
Date 2 May 2023 | Circular 2023/02 | Category Employment Relations
This circular is about the details of the recent settlement of the Primary Principals’ (PPCBU) Collective Agreement 2022-2024.
This circular does not replace any other.
It is intended for Presiding Members of School Boards of all state and state-integrated primary schools.
For more information contact the New Zealand School Trustees Association (NZSTA) about human resource issues generally on 0800 782 435 or email firstname.lastname@example.org(external link). You can also email the Ministry of Education's Employment Relations Unit: email@example.com if you have questions about the settlement or the new collective agreement. All collective agreements for school staff can be found on the Ministry's website: www.education.govt.nz/collective-agreements/
The actions needed are:
- Note the details of this settlement, including the new rates of pay that are provided for principals working in positions covered by the new collective agreement.
- Note that Education Payroll will implement the settlement by 14 June 2023.
- Note that a one-off gross payment of $750 will be made to all PPCBU members employed as at 5 April 2023, pro-rated for part-time principals and that a further one-off gross payment of $500 will be made to all primary principals covered by this agreement employed as at 1 December 2023.
- Review and understand how sick leave entitlements for primary principals have changed.
- Note and enable principals covered by this agreement to have access to professional supervision, coaching and wellbeing support of up to $6,000 per annum for the term of the agreement. Guidance and policies for the use of this fund have been developed by the Ministry in consultation with PPCBU and will be communicated to schools through NZSTA and published on the Ministry website.
- Review and understand where the increases to Māori Immersion Teaching Allowances (MITA) for immersion level 1 and 2 from the start of Term 2, 2023 apply to teaching principals.
- Review and understand the introduction of a Pacific Bilingual Immersion Teaching Allowance (PBITA) for teaching principals in immersion levels 1 and 2 from the start of Term 2, 2023.
- Become acquainted with changes to the clause wording concerning secondments.
- Note the increase to motor vehicle allowance rates.
On 28 March 2023, the the Primary Principals’ (PPCBU) Collective Agreement 2022-2024 was settled and ratified by members of the Primary Principals' Collective Bargaining Union on 6 April 2023.
The term of the agreement is from 1 December 2022 to 1 December 2024.
This circular provides a summary of the changes and new provisions agreed in the settlement.
The full collective agreements can be downloaded from the Ministry of Education’s website: www.education.govt.nz/collective-agreements/ and printed copies will be available from the New Zealand School Trustees Association (NZSTA).
Key features of the settlement
New rates for the roll-based component of principals’ remuneration have been agreed, effective from 1 December 2022.
These rates are outlined in the table at the end of this document. They comprise a flat-rate increase of $4,000 from 1 December 2022 and a further increase of 3% 12 months after this.
This translates to rates that include a 7.2% increase for principals employed in U1 and U2 grade schools equating to a base salary of $105,031 in year 2; a 6.0% increase for those employed in U8 grade schools ($145,712 in year 2); and a 5.4% increase for principals employed at the very top of the scale ($180,518 in year 2).
As a member-only benefit, a one-off gross payment of $750 will be made to PPCBU members employed as at 5 April 2023. This will be pro-rated for part-time principals.
In year two of the collective agreement, a one-off gross payment of $500 will be made to all primary principals bound by this agreement employed as at 1 December 2023. This will be pro-rated for part-time principals.
|U-Grade||Roll size||Current Rates||Rates effective
from 1 December 2022
|Rates after 12 months
|U1 & U2||1-100||$98,031||$102,031||$105,092||$7,.061||7.2%|
Professional coaching support for wellbeing
To support principal wellbeing, the agreement provides access to professional supervision, coaching and wellbeing support of up to $6,000 per annum for the term of the agreement.
This fund will be held by the School Board and be accessed by the principal for the purposes of accessing professional coaching and support in their leadership role.
The Ministry has developed guidance and policies for the use of this fund in consultation with PPCBU.
Leadership in Youth Potential payment
The per student component of the Leadership in Youth Potential payment will be transitioned to the Equity Index and a per student payment provided, per annum, paid fortnightly for each year 11-15 student in place of the current per student payment detailed in clause 3.1.4 of the Collective.
The per student rate for students in the highest 40% EQI schools will be $6.37 and for remaining schools it will be $4.24.
Clause wording has been amended to ensure the process for seconding principals into sector roles outside of their schools is easier, more accessible, and does not disadvantage those undertaking secondments.
Changes are being made to sick leave to ensure compliance with the Holidays Act. From 28 January 2024 a principal is entitled to sick leave based on aggregate employment as follows:
|Upon first appoint as a teacher or principal (whichever)
is first) in a state or state-integrated school
|20 days||20 days|
|6 months aggregate employment||10 days||30 days|
|12 months aggregate employment||10 days||40 days|
|18 months aggregate employment||10 days||50 days|
|24 months aggregate employment||10 days||60 days|
|30 months aggregate employment||10 days||70 days|
|Each subsequent 12 months of completed
|10 days||+10 days|
Conversion from the current entitlements is set out in Appendix 6 to the Collective Agreement.
Replacement of Decile based payments with an Equity Index based payment
Principals in schools that fall within the top 40% of the Equity Index when it is calculated each year will receive a payment based on the Equity Index number of the school, multiplied by nine. This payment will replace the Decile based component of each principal’s remuneration.
Transitional arrangements for this change are set out in the Collective Agreement clause wording.
Motor Vehicle Allowance Rate
The motor vehicle allowance rate referred to in Clause 6.1.5 will increase from 62 cents per kilometre, to 83 cents per kilometre, from the start of Term 2, 2023.
Mark Williamson, General Manager Employment Relations and Pay Equity, Te Puna Ohumahi Mātauranga | Education Workforce
Ministry of Education, 1 The Terrace, Wellington 6011
PO Box 1666, Wellington 6140, New Zealand, Phone 04-463 8000, Email firstname.lastname@example.org
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