When Is a Teacher's Annual Salary Not Their Annual Salary?
The shocking truth about how Scotland penalises teachers for moving between councils
Amanda should’ve been excited.
A young teacher, she’d moved to a new town, taken on a new role, found a new flat. Instead, she was in tears.
"I wish I never made the move," she said.
Was it the school? The pupils? The pressure?
"No," she told me. "It’s my pay. I’ve lost nearly £2,000."
What followed was an unravelling of confusion and bureaucracy, made worse by two councils who couldn’t (or wouldn’t) explain why a teacher, moving from one Scottish council to another without missing a single day, was suddenly £2,000 short.
Her former council used one set of payroll rules. Her new one used another. Neither took responsibility. The shortfall wasn’t made up. The emotional toll was immense. Amanda ended up being offered a "hardship loan" just to cover her rent.
If this could happen to Amanda, how many others were affected?
The Investigation
Over two months, The Lid Files submitted FOI requests to all 32 Scottish local authorities, the Scottish Government, Education Scotland, Audit Scotland, teaching unions, the Scottish Negotiating Committee for Teachers (SNCT), and Local Negotiating Committees for Teachers (LNCTs).
The findings are damning:
- There is no consistent definition of a school year across councils.
- There is no standardised application of start/leaver payroll rules.
- Most councils do not proactively warn teachers about the financial consequences of transferring mid-year.
- Many councils do not follow national guidance.
- Teachers can lose thousands of pounds despite not missing a single day of work.
Who Controls Teacher Pay?
Scotland's education system is split across layers of government:
- The Scottish Government: Sets education policy and funding.
- Education Scotland: Oversees curriculum and attainment.
- The SNCT: Sets national pay and conditions. It includes COSLA (local authorities), government officials, and teacher unions.
- Local Authorities (32): Employ teachers, set calendars, manage payroll.
- LNCTs: Local subcommittees that adapt national guidance to local policies.
SNCT rules bind all councils, but councils interpret them differently. That difference is at the heart of Amanda’s case.
Amanda’s Missing £2,000: A Breakdown
Amanda left one council on a Friday. Started with another on Monday. She never missed a day.
Both councils applied the SNCT’s official formulas:
- The leaver formula from her old council gave her a "balancing payment".
- The new starter formula from her new council produced a “negative balance” and deducted pay due to fewer remaining "paid days" in the school year.
But the school calendars used by each council were not aligned. Her new council’s year had started earlier and ended sooner. As a result, Amanda accrued fewer paid days and holiday entitlement.
Net result? A loss of nearly £2,000.
The real scandal? This outcome is fully accepted by the SNCT, who write in their own handbook:
"[A teacher] could receive more or less than the annual rate of salary" due to council differences.
A Broken System: The Evidence
▪ School Year Definitions
FOI responses from all 32 councils revealed at least 17 different definitions of what constitutes a school year. Some councils say it runs August–June. Others define it as 365 days. Some don’t define it at all.
Start and end dates for 2024/25 vary widely:
Start Dates: Range from 12 August to 21 August
End Dates: Range from 25 June to 4 July
▪ Annual Leave Allocation
The SNCT recommends 40 days of paid annual leave across 4 holiday periods.
Fewer than half of councils comply fully.
Nearly half do not schedule the final week of summer as paid leave, violating SNCT guidance.
▪ School Closure Days
Teachers are not paid for 26 days a year when schools are closed.
Councils vary these closure dates, directly affecting pay outcomes.
▪ Communication Failures
FOIs asked councils when they inform new teachers of potential pay loss:
- Only 6 of 25 responding councils were proactive.
- 16 only informed teachers after they started.
- 3 gave no information at all.
Even worse:
- Only 5 councils use the SNCT’s standard letter to notify new teachers with negative balances.
- 72% of councils do not follow SNCT's notification requirements.
▪ Data Gaps
Most councils do not track whether teacher leavers or joiners are moving between councils.
86% of councils said they held no data on this.
▪ Pay Smoothing and SNCT 'Low Pay' Guidance
The SNCT handbook includes specific guidance for councils to operate a 'low pay' arrangement where a new teacher's negative balance on starting is less than 70% of their standard monthly salary. This mechanism is meant to spread any underpayment evenly across the remaining months of the year, protecting staff from sudden income shocks.
However, our FOI findings reveal that 84% of councils do not apply this guidance. Instead, they deduct the full negative balance immediately, often in the teacher’s first pay packet.
Amanda’s new council did exactly this. The full deduction was taken in her first month — with no mention of 'low pay' support or repayment smoothing. As a result, Amanda was left with so little income she was offered a hardship loan just to pay rent.
What the Unions and Authorities Said
- Audit Scotland: Not our job - speak to internal council auditors.
- Scottish Government: No reply.
- EIS (largest teaching union): No response.
- Other unions: Claimed the system was fair. No action taken.
The Consequences
Teachers like Amanda are being financially penalised for changing jobs within Scotland. Some are offered hardship loans. Others are left to cope.
This isn’t theoretical. Teachers are:
- Falling behind on rent,
- Losing income,
- Trapped in jobs they might otherwise leave,
- Or worse: being paid more than their contract allows due to calendar quirks.
It Doesn’t Have to Be This Way
Fixes are simple:
- Align school calendars nationally.
- Standardise annual leave and closure days.
- Reform the SNCT starter/leaver formulas to project full-year earnings.
- Ensure full, written pre-contract disclosures to all transferring teachers.
- Audit council payrolls and pay software for compliance.
- And above all: Stop paying teachers in advance, a practice that adds unnecessary complexity and confusion.
Final Thought
Teachers like Amanda do the hard, daily work of teaching Scotland’s children. They buy snacks, lunch, even underwear for the kids who arrive with nothing. They shouldn’t need hardship loans just to take a new job.
This system is broken. We can fix it. The question is whether those in power will act.
If you've been affected by similar pay discrepancies when moving between councils, contact us at editor@lidfiles.org. We’re listening.
The Lid Files is committed to uncovering the hidden systems, policies, and failings that impact real lives in Scotland. If you believe in this mission, consider subscribing and sharing.
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*This article is original reporting by The Lid Files. Attribution is required for any reuse. Please cite 'The Lid Files' and William MacLean and link to the original where possible. Contact editor@lidfiles.org for republication or media enquiries.*