Victorian Teachers Secure Up to 32% Higher Pay in New Union Agreement

Victorian public school teachers are set to receive one of the largest education wage agreements seen in Australia in recent years after the Australian Education Union (AEU) reached an in-principle agreement with the Victorian government following a long-running pay dispute.

The proposed deal would give teachers, principals and education support staff pay increases ranging between 28% and 32% over four years, depending on their role and classification. The agreement still needs approval from union members, but the AEU has already endorsed the package and expects a formal vote to take place in June.

The breakthrough comes after months of tense negotiations and statewide industrial action that highlighted growing frustration among teachers over salaries, workload and staff shortages in Victorian schools.

The AEU had originally demanded a 35% pay increase over four years, arguing Victorian teachers were significantly underpaid compared with colleagues in New South Wales and other states. Earlier negotiations stalled after the union rejected the state government’s previous offer of 17%.

In March, the dispute escalated dramatically when tens of thousands of teachers, school staff and supporters walked off the job and marched through Melbourne’s CBD in the first statewide teachers’ strike in Victoria in 13 years. Victoria Police estimated around 35,000 people attended the protest outside state parliament.

Teachers set for major salary increases under new deal

According to the union, the agreement would affect around 80,000 teachers, principals and education support workers across Victoria’s public school system.

AEU Victorian branch president Justin Mullaly described the agreement as a major achievement for members after more than a year of negotiations.

“This is a really good agreement,” Mullaly said while announcing the deal.

“This is an agreement that delivers pay increases well in excess of the original government offer.”

The union says the first round of increases this year would range between 13% and 16.7%, depending on role and classification.

Mullaly said one of the biggest outcomes would be lifting Victorian teacher salaries closer to — and in some cases above — interstate equivalents.

“It’s an agreement that does what members sought us to do, and that’s to lift us from the bottom of the pile up towards the top,” he said.

According to the union, a Victorian teacher at the top salary scale would move from approximately $118,000 to more than $151,000 over the life of the agreement.

Mullaly also claimed that by October this year, an experienced Victorian teacher would earn more than a counterpart in New South Wales, representing an annual increase of more than $15,000.

The pay outcome is being closely watched across Australia because public school systems in multiple states are struggling with teacher shortages, burnout and recruitment challenges. Unions have repeatedly argued that better salaries are necessary to retain experienced teachers and attract younger workers into the profession.

Swikblog recently covered broader pressure on Australia’s education sector in its report on students questioning the value of expensive Australian university degrees, highlighting growing concerns around education quality and workforce sustainability.

Extra student-free days included in agreement

The proposed agreement is not limited to salaries. The deal also includes additional student-free days each year, giving teachers more time for lesson preparation, curriculum planning and administrative work.

Teacher workload has become one of the most serious issues facing Australian schools, with many educators reporting they regularly work nights and weekends to manage planning, reporting and classroom administration.

The union has argued throughout negotiations that improving conditions is just as important as improving pay. More planning days, according to the AEU, could help reduce burnout and improve teacher retention.

For parents, the additional student-free days may create scheduling challenges, but education leaders believe the change could improve classroom preparation and reduce pressure on staff already stretched by shortages and rising workloads.

The Victorian government has not publicly released every detail of the agreement yet, but the in-principle deal signals a major shift from its earlier wage position.

The dispute became politically sensitive for the Allan government because education disruptions directly affect families, workplaces and local communities. Continued strikes would have increased pressure on the government ahead of future budget and policy discussions.

The member vote expected in June will now determine whether the agreement officially becomes part of Victoria’s next education wage framework.

If approved, the salary increases are expected to begin rolling out in the following months.

The outcome could also influence future negotiations in other Australian states where teachers and public sector workers are pushing for better pay and working conditions amid ongoing cost-of-living pressures.

According to ABC News, the agreement marks a significant step toward ending the wage standoff that dominated Victoria’s education sector over the past year.

For many Victorian teachers, the deal represents more than a salary increase. It is being viewed as recognition of growing classroom pressure, staff shortages and the challenges facing public education systems across Australia.

Make Swikblog your go-to source on Google for reliable updates, smart insights, and daily trends.