Skip to main content
Full Menu Close Menu
Q&A on the Issues

Money included in the new contract

New York Teacher

The DOE-UFT contract, ratified on July 10, includes a ratification bonus and new annual retention bonuses in addition to regular across-the-board wage increases. It also boosts reimbursement payments for medical expenses related to an injury on the job and loss of personal property. See an updated timeline of expected payment dates

Here’s what you need to know about these new pocketbook provisions.

Who receives the $3,000 ratification bonus?

All UFT-represented employees who were on payroll as of June 27, 2023. This group includes employees on sabbatical leave, military leave with pay and paid parental leave on June 27. Those who resigned or retired during the summer will receive the ratification bonus, too. F-status and other regularly scheduled part-time employees receive a prorated amount. Per diems do not receive the ratification bonus.

When do I receive the ratification bonus?

Employees on the Q-Bank will receive the bonus on Sept. 25. Employees on the H-Bank, with the possible exception of therapists, will get the bonus on Sept. 28. The ratification bonus will come in a separate check.

Is the ratification bonus pensionable?

Yes, it is. If the ratification bonus is paid out during your final average salary period, it will raise your final average salary, which is the basis for your pension.

What other bonuses are in this contract?

The contract creates annual retention bonuses of $400 on May 1, 2024; $700 on May 1, 2025; $1,000 on May 1, 2026; and $1,035 on May 1, 2027. This annual bonus will then be paid every year on May 1 in perpetuity to all UFT-represented employees. The bonus will go up with collective bargaining increases.

Who receives the annual retention bonus?

Anyone, including per diems, who works for at least 30 days in a given school year and is on payroll as of April 1 is eligible for the retention bonus paid on May 1.

Is the annual retention bonus pensionable?

No, it is not. By making these retention bonuses nonpensionable, the union was able to make them larger. No TDA or pension contributions will be taken from these bonuses either, so the take-home pay will be higher.

Will the annual retention bonuses be taxed at a higher rate?

The annual retention bonuses should not be taxed at a higher rate. It is possible that the DOE payroll system will take out more in taxes from your paycheck that includes the retention bonus because it recognizes it as part of your regular pay, but if that happens, you should get this money back in your tax return when you file your taxes.

Will per-diem or F-status employees receive the full amount of the annual retention bonus?

Per diem or other part-time employees must work a minimum of 30 days in the 12 months ending on April 1 to be eligible to receive the annual retention bonus on May 1 of that year. The amount will be prorated based on their work schedule.

When will the Sept. 14, 2022 pay increase start to appear in my paycheck?

The 2022 pay increase will appear in the Sept. 29, 2023, paycheck for the vast majority of employees. Nurses, audiologists and supervisors of nurses and therapists will see the raise reflected in their Oct. 13 paycheck. The date for therapists has not been finalized.

Who receives the retroactive payment?

All UFT-represented employees who worked for any period from Sept. 14, 2022 — when the contract’s first 3% pay increase took effect — to Sept. 16, 2023, will receive a retroactive payment because their paychecks during that interval did not reflect the pay increase. Per-diem employees are also eligible for retroactive pay. The more time the employee worked and the higher their salary is, the larger the retroactive payment will be.

When will I receive the retroactive payment?

School nurses, audiologists and supervisors of nurses and therapists will receive their retroactive payment as part of their paycheck on Oct. 13. The payment date for therapists has not been finalized. All other UFT-represented employees will receive their retroactive payment as part of their paycheck on Sept. 29. Inactive employees will receive their retroactive payment in late October.

Is the retroactive money pensionable?

Yes, it is. If you receive your retroactive pay during your final average salary period, those payments will raise your final average salary, which is the basis for your pension.

Will I receive retroactive pay for per-session work?

Yes, the retroactivity applies to all wages earned between Sept. 14, 2022, and Sept. 29, 2023. You will receive your retroactive payment for per-session work on Nov. 1.

Will I receive the ratification bonus and retroactive pay if I am on child care or parental leave?

Anyone who was on paid parental leave on June 27, 2023, is eligible for the ratification bonus because they were still being paid. Someone on child care leave on June 27, 2023, is not eligible for the ratification bonus because they were off payroll on that date. Anyone who worked for some period between September 2022 and September 2023 is eligible for retroactive money.

Am I eligible for the ratification bonus or retroactive pay if I resign or retire?

As long as you were on payroll on June 27, 2023, you will get both.

Will we still receive the $225 at the end of October for setting up our digital classrooms?

Yes — these annual payments are now a permanent part of the contract.

How much can I be reimbursed for medical expenses when I’m injured on the job?

Teachers can now receive reimbursement from the DOE for reasonable medical expenses — incurred because of an injury in the line of duty and not covered by insurance — of up to $1,500. The previous maximum was $750.

Did the DOE also boost the amount it will reimburse employees for loss or damage of personal property?

The DOE will now reimburse UFT-represented employees up to $500 in any school year for loss or damage or destruction of personal property not covered by insurance, while on duty. The previous maximum was $100

Timeline for wage increases and bonuses
2022–23 Sept. 14, 2022 3% wage increase
2023–24 Sept. 25 or 28, 2023 $3,000 ratification bonus
Jan. 18, 2024 3% wage increase
May 1, 2024 $400 retention bonus
2024–25 Jan. 18, 2025 3% wage increase
May 1, 2025 $700 retention bonus
2025–26 Sept. 14, 2025 3.25% wage increase
May 1, 2026 $1,000 retention bonus
2026–27 Sept. 14, 2026 3.5% wage increase
May 1, 2027 $1,035 retention bonus

2023 contract gives educators more money and say

Three-quarters of the UFT members who cast ballots ratified a new contract that raises members’ salaries by 17.58% to 20.42% when compounded and gives educators more say over how and where they spend their out-of-classroom time. The agreement marked the end of an eight-month battle for a fair contract.

Related Topics: Contract 2022