The state Board of Education on Wednesday approved a new four-year contract for Schools Superintendent Keith Hayashi, extending his tenure through 2029 and increasing his annual salary to $294,674, an 18 % raise from his current pay of $249,600.
The decision, approved at a special meeting Wednesday, follows months of analysis on how Hawaii compensates its top education leaders and marks the board’s latest effort to align executive pay with national and local market standards, officials said.
“The Board of Education remains dedicated to transparency and has approved an increase in the superintendent’s salary to ensure continued strong leadership and to remain competitive in attracting and retaining top educational talent,” BOE Chairperson Roy Takumi said. “The board recognizes the importance of investing in the leadership that drives student success.”
Under the new contract, which takes effect Jan. 1, Hayashi’s base salary will rise to the market minimum identified in an executive compensation study conducted by Gallagher Benefits Services this year. The study found that DOE executive salaries were about 20% below comparable positions in other large U.S. school districts and Hawaii institutions.
The board’s new compensation policy, Board Policy 500-28, adopted in August, calls for superintendent and subordinate superintendent pay to target the 50th percentile of the market for comparable districts while balancing fiscal constraints and public accountability.
Hayashi’s contract also introduces a results-based pay structure, making him eligible for annual performance raises between 5% and 8% at the board’s discretion, based on evaluations of student outcomes and other approved goals. The raises will be retroactive to July 1 of the evaluation year — the same process used for his deputy and assistant superintendents.
According to the board’s Human Resources Committee memo, if Hayashi earns the full 8% each year, his salary could approach $400,000 by the end of the term in 2029.
The raise is the second for Hayashi since becoming superintendent in 2022. His salary was initially $240,000, later increased to $249,600 in 2024 after the Legislature raised the statutory salary cap from $250,000 to $350,000 to give the board flexibility to attract qualified leadership.
The Gallagher study, commissioned at the request of former Board Chair Warren Haruki, compared DOE salaries with those in 24 of the nation’s largest school districts, as well as to top executive positions at local universities, private schools, and state agencies. It concluded that executive pay at the department was “significantly misaligned” and recommended immediate adjustments to bring compensation closer to market levels.
For Hayashi, Gallagher identified the market midpoint at roughly $368,000. The board chose to set his new base at the market minimum, $294,674, rather than the midpoint, citing fiscal prudence and state budget constraints.
The analysis also underpinned a Sept. 18 board action that raised salaries for subordinate superintendents, including deputy, assistant and complex area superintendents, many of whom were earning below recommended market levels.
According to board records, 14 of 24 subordinate superintendents were earning less than the Gallagher study’s proposed minimums. The board adopted a hybrid plan that moved incumbents to the minimum of their pay range plus 2% for each year of service, or a smaller 3.2% performance-based increase, whichever was greater — with a cap ensuring none exceeded the superintendent’s salary.
Even with the raise, Hayashi’s new salary remains lower than those of most superintendents leading similarly large school systems.
The board’s data shows that pay for superintendents in the 24 largest U.S. school districts ranges from about $320,000 to $545,000, with leaders in Los Angeles, Houston and New York earning between $414,000 and $462,000.
Among Hawaii’s executives, Hayashi’s new pay sits well below those at major public and private institutions. The University of Hawaii System president earns about $675,000, the Chaminade University president about $465,000, and heads of large private schools such as Punahou and ‘Iolani make between $530,000 and $640,000, according to public filings reviewed by the board.
BOE officials said the new compensation structure is designed to modernize the pay system while maintaining public accountability and competitive balance.
The new contract also clarifies evaluation and termination procedures.
Hayashi must undergo a formal annual performance review, with specific goals aligned to the BOE’s statewide strategic plan. The board may terminate the contract for just cause, including misconduct or repeated unsatisfactory evaluations, but must follow due-process procedures that provide written notice, an opportunity to respond, and an arbitration option if disputes arise.
The contract further specifies 21 vacation and 21 sick days a year, standard state employee benefits, a reserved parking stall and a car allowance of $326 a month.
Hayashi, a longtime public educator who began his career as a teacher at Lehua Elementary School and later served as principal of Waipahu High, became interim superintendent in 2021 and was appointed permanently in 2022. He oversees a system of about 164,000 students on 296 campuses, employing more than 40,000 people and managing an annual budget of $2.8 billion — Hawaii’s largest workforce after the U.S. military.
Under his leadership, the department has reported modest gains in literacy and college-readiness rates, expanded early-college partnerships and worked to rebuild pandemic learning loss. His tenure also has seen ongoing scrutiny over delayed teacher paychecks, administrative hiring and the need for greater fiscal transparency.
In his performance evaluation for the 2024–25 school year, the BOE rated Hayashi “satisfactory,” meaning he met or exceeded expectations in most areas.
“I appreciate the board’s continued confidence and the opportunity to keep serving our students, families, and public school communities,” Hayashi said. “We’ve made important progress in recent years — academically, operationally, and in how we support schools — and I’m committed to building on that momentum. The goal remains clear: to ensure every student in Hawaii graduates ready to thrive, rooted in local values and prepared for a changing world.”
Hayashi’s reappointment comes amid wider debate over public-sector executive pay in Hawaii.
Two DOE speech-language pathologists testified in opposition to the proposed leadership salary adjustments, saying the raises underscore a long-standing disparity between school-based professionals and top administrators.
One speech pathologist, who has worked for the department since 2015, said the proposed pay increases for subordinate superintendents — up to 53% for deputy superintendents, 36% for assistant superintendents, and 11.5% for complex area superintendents — were “a slap in the face” to educators and specialists who have seen little change in compensation.
Another speech pathologist, who has worked in the department for 17 years, expressed concern that while leadership pay continues to rise, school-based clinicians have been unable to secure adjustments for their positions despite repeated requests since 2019. The educator cited ongoing vacancies, high caseloads and uncompetitive pay as major barriers to recruiting and retaining qualified staff, resulting in overextended workloads and inconsistent student services statewide.
Source: The Garden Island
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