Voluntary bonding - Frequently asked questions

What is the voluntary bonding scheme all about?

The Government is committed to reducing workforce shortages and retaining teachers in areas of great need.

The voluntary bonding scheme will recognise those teachers who choose to enter teaching in schools and subjects where there is high need. Eligible teachers will receive an annual taxable payment of $3,500 for up to five years. These payments will be directed at a teacher’s student loan, and are set at a level designed to assist teachers to pay off their loans within five years.

If teachers do not have a student loan, payments will be made directly to them.

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What does "bonding" mean?

This scheme does not require teachers to sign an up-front "bonding" agreement. Instead, teachers will be rewarded for their teaching service in identified schools and subjects where teachers are most needed. Payments will be made at the end of a minimum three-year period of teaching service.

Am I eligible?

All teachers who have graduated since 2005 will be eligible for entry to the voluntary bonding scheme in 2009 if they are working in either:

• decile 1 schools;
• severely isolated schools; or
• particular subject areas.

From 2010, graduates will only be eligible to enter the scheme in the first year of their initial provisional registration – their beginning teacher year.

All teachers must choose to enter the identified school or subject within the first year of their initial provisional registration. This indicates sign-up to the scheme.

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If I have been teaching before the scheme starts, can this time count toward service?

No. The scheme begins in 2009 and only service completed after the scheme’s introduction can count toward the voluntary bonding payment. Teachers who enter the scheme in 2009 and complete three years teaching service will receive their first payment from the end of 2011.

What is provided by voluntary bonding?

Teachers will be eligible for before-tax payments of $3,500, over and above their salary, for every year up to five years that they are working in the identified schools and subjects.

Payment for the first three years will be paid at the end of the third year of teaching, and annually for the fourth and fifth years. This means that the first payments will be made at the end of the 2011 school year for those entering the scheme in 2009.

Teachers must stay working in identified schools or subject areas (but can move within them) for three years in order to receive the first payment.

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What schools and subjects will the scheme apply to?

The voluntary bonding scheme will apply to decile 1 schools; severely isolated schools; and for particular subject areas where it is difficult to find staff.

What happens if my school or subject loses eligibility under the scheme?

Should a school or subject lose eligibility under the scheme, teachers who have been teaching in that school or subject will retain eligibility for payments until their next payment is due, but no subsequent payments will be made.

This means, for example, that if you were teaching in an eligible school, and in your second year of teaching that school’s decile rating increased, you would still be eligible to receive the three-year payment after your third year at that school. You would not, however, be eligible for payments for teaching at that school in your fourth and fifth years. Note that this means that should a school / subject lose eligibility in your fifth year of teaching, you would still be eligible to receive payments to cover all five years.

What happens if my school or subject gains eligibility under the scheme?

If you start teaching, within 12 months of gaining initial provisional registration, in a school or subject that later becomes eligible under the scheme, you will be eligible for payments to reflect your service from the time that school or subject came into the voluntary bonding scheme, up until the end of your fifth year of teaching.

For example, if you started teaching in a decile 2 school in your first year of teaching, and in your third year that school’s decile decreased to decile 1, you would be eligible to receive a voluntary bonding payment at the end of your third year, to cover that year only, and to receive further payments in your fourth and fifth years (assuming continuing eligibility).

How do I apply for voluntary bonding payments?

After completing three years teaching in an identified school or subject, you will need to apply for your first voluntary bonding payment. You will need to complete further applications for payments at the conclusion of your fourth and fifth years of teaching.

How many schools will the voluntary bonding scheme apply to?

More than 364 schools nationwide are either Decile 1 or meet the isolation criteria. In addition, schools offering the identified secondary subjects may have eligible teachers.

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What subjects will the scheme apply to?

Subjects eligible for the scheme are the TeachNZ Teacher Recruitment Scholarship subjects. The specific subject areas are listed on the TeachNZ website. Please note that subjects are reviewed periodically and may change.

Am I eligible for voluntary bonding if I teach part-time?

The minimum service requirement for graduate teachers to be fully eligible to recieve voluntary bonding scheme payments is 50% of a full-time teacher equivalent or 0.5 FTTE.

To ensure clarity:

• Teachers who enter the scheme through being employed in a decile 1 or severely isolated school must be employed for at least 0.50 FTTE.
• Teachers who enter the scheme through teaching in an identified TeachNZ Teacher Recruitment Scholarship subject area must teach in that subject area for at least 0.50 FTTE.

What happens if I stop teaching during the bonding period?

Teachers must stay working in identified schools or subject areas (but can move within them) for at least three years in order to receive the first payment. No payments will be made to reflect service of less than three years.

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Will taking leave affect eligibility?

Teachers are able to take leave for certain reasons, such as study leave and parental leave, without affecting their eligibility for voluntary bonding. Leave that complies with provisions in the teachers’ collective agreements will be considered as a pause on the service requirements of the scheme.

What other professions are involved in voluntary bonding schemes?

Doctors, nurses, midwives, and veterinarians.

Am I eligible for voluntary bonding if I have a TeachNZ scholarship?

Teachers bonded as a result of TeachNZ scholarships will not be eligible for voluntary bonding payments until their scholarship bonding period is completed. These teachers may, however, be eligible to receive voluntary bonding payments to cover service completed after completion of the scholarship bonding period, up to the fifth year following initial provisional registration.

If I enter voluntary bonding, am I still eligible for other incentives?

Yes. The only area of restriction for the voluntary bonding scheme relates to bonded TeachNZ scholarships.

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How can I find out more?

Further information about the voluntary bonding scheme is available at www.minedu.govt.nz/voluntarybondingscheme.

You can also contact the Ministry of Education's Resourcing contact centre:
Phone (04) 463 8383
Email resourcing@minedu.govt.nz [no spam]

If you have a TeachNZ scholarship, information on how your scholarship fits with voluntary bonding is available from the TeachNZ website.