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Conditions for employing teachers from operational funding
Under the Education and Training Act 2020, your school board must meet certain conditions to employ teachers from operational funding. Teachers can be employed permanently or temporarily.
Section 580(b) Education and Training Act 2020 – New Zealand Legislation
Boards are responsible for all financial, planning, budgeting, monitoring and risk.
Your board must be able to meet ongoing salary and other associated costs for any board-funded staff, in the long and short term.
The following checklist names some of these costs.
Costs when employing staff from operational fundingTo employ staff from operational funding, your board must:
- be satisfied there are genuine reasons related to the operational requirements of the school for employing staff on a fixed-term arrangement
- have fully considered the consequences of permanently employing teachers using operational funding
- have fully considered the impacts of moving teaching staff between bulk grant (BG or operational funding) and teachers’ salaries (TS), including the impacts on teacher time allowances.
If your board must reduce its entitlement staffing, we will meet surplus staffing costs. If your board’s entitlement staffing does not need to be reduced, you are responsible for meeting surplus staffing costs.
Manage surplus staffing if you have an entitlement staffing reduction – Ministry of Education
Your board must agree to us holding a current direct debit authority on your board's bank account.
When your board cannot employ teachers with operational funding
Your board cannot employ staff from operational funding to:
- seek extra classroom spaces or school buildings
- make changes to the school’s U-grade
- improve staffing or management provisions.
Record-keeping and payments
Any decisions your board makes to employ teachers using operational funding must be noted in your board minutes and kept for audit purposes.
Payments for teachers employed from operational funding must be coded as ‘BG’ (bulk grant).
Education Payroll (EdPay) has more information on payroll record-keeping requirements.
Payroll record-keeping – EdPay
