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The gap between the supply of and demand for fully credentialed teachers is expected to increase over the next decade. Here we explain how teacher supply and demand is projected, as well as some of the technical issues involved.

Projecting Demand for Teachers
The demand for teachers in California grew dramatically in the last half of the 1990s and is expected to grow steadily through 2007–08, followed by a slight decrease after that year. In fact, the size of the teacher workforce has grown from 219,300 K–12 teachers in California in 1991–92 to approximately 306,800 teachers in 2001–02, an increase of 40 percent over the last decade. This increase in demand was driven by three factors:

  • a significant growth in student enrollment, which now totals more than 6 million;
  • the implementation of class-size reduction in 1996–97, which increased the need for K–3 teachers; and
  • attrition and retirement of working teachers.

In California, statewide data do not permit precise analyses of attrition and retirement. At best, we can estimate attrition and retirement by comparing annual changes in the number of teachers for each hypothetical cohort (as defined by years of teaching experience). We estimate that annual attrition is approximately 4.5 percent of the total workforce and that retirement is approximately 1.7 percent.

The projected increase in the demand for teachers through 2007–08 is driven by Department of Finance projections that show student enrollment and the teacher retirement bulge peaking in that year (retirement rates are calculated using data from the California State Teachers’ Retirement System). More specifically, student enrollment is projected to peak at 6.26 million in 2007–08 and then to decrease slightly to 6.22 million in 2010–11, requiring 315,000 teachers in that year. In addition, we can expect teacher retirement rates to increase as baby boomers start to reach retirement age. In fact, we estimate that the annual retirement rate for teachers will peak in 2007–08 at 5 percent. Thereafter, the retirement rate will begin to decline, but in 2010–11, it still will be approximately 4 percent of the workforce, compared with today’s estimated rate of 1.7 percent.

Projecting the Supply of Teachers
The supply of credentialed teachers increased from approximately 202,700 in 1991–92 to 265,100 in 2001–02, an increase of 31 percent over the last decade. However, the supply of credentialed teachers is estimated to decline slightly in the next decade, dropping to approximately 250,000 teachers in 2010–11. These estimates are based on current levels of credential production, participation, attrition and retirement. As mentioned before, the reduction is due mainly to the fact that many credentialed teachers will be retiring in the next decade. On the basis of these projections, we estimate almost 210,000 new hires from 2002–03 to 2010–11.

We define the supply of credentialed teachers as the number of teachers who hold preliminary or professional clear credentials and are willing to take jobs at the salary, assignment, location and working conditions offered.

Each year, qualified teachers come from multiple sources. The largest source is the base of veteran credentialed teachers continuing in the profession. Other sources include:

  • teachers who left teaching for a period of time and later re-enter the teacher workforce (very little is known about the size of the re-entrant pool in California, however);
  • out-of-state teachers (credentialed teachers prepared in other states); and
  • newly credentialed teachers.

Technical Note
Projections for the teacher workforce are imprecise because historical and current data do not permit accurate measures of teacher job-taking, attrition and retirement in California. Our purpose here is not to present definitive projections, but rather to propose reasonable outcomes based on the best available data of historical trends. Exogenous conditions, particularly changes in the economy that impact the availability of attractive jobs in the private sector, may influence the number of individuals attracted to the teaching profession, the number of individuals who choose to take jobs after attaining a credential and the number of individuals willing to re-enter the profession. Additionally, due to the limitations of available state data, these projections do not include estimates of the number of teachers who are teaching “out of field” (in an assignment other than the one for which they hold a credential). Despite these limitations, this method of projecting teacher supply and demand has been used for four successive years and thus far has proven to be remarkably accurate.

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