Following Sixth Pay Commission’s recommendations, primary school teacher salaries have nearly doubled in Uttar Pradesh and presumably in other states that have fully or nearly fully implemented the recommendations. This paper examines the equity implications of the teacher salary increases by presenting five different ways of benchmarking government teacher salaries. The paper also assesses the efficiency implications of pay increases for teacher effort. Finally the paper considers the 'subjective well-being' consequences of teacher pay changes.
RECOUP Working Paper No. 29, Centre for Education and International Development, University of Cambridge, UK, 14 pp.