A Wellington principal claims that the career pathway for principals of small to medium sized schools in New Zealand is “fundamentally broken” due to pay inequity. Principals of primary schools with fewer than 150 students can be paid less than their staff because they are not eligible for Management Units, which compensate for extra duties and responsibilities. This has led to a pay disparity where teachers can earn more than their principals. The issue is discouraging aspiring leaders from taking on these roles. The government is being urged to address the principals’ pay system and create a base salary for all principals.