This report focuses on published research about performance pay for teachers in Australian schools. This report falls into three main sections. The first provides an overview of current pay arrangements and collective enterprise bargaining agreements for Australian teachers. Within these arrangements, the report gives particular attention to provisions for performance-based pay schemes and to identifying potential impediments to the introduction of performance-based pay for teachers. The second part of the brief called for an overview of recent Australian and international research on the attitudes of stakeholders to performance-based pay schemes for teachers and the impact of these schemes on, for example, teacher retention, improved teaching standards, improved student outcomes and recognition of accomplished teachers. The third part of the brief asked for gaps in the Australian and international evidence base on performance pay to be identified and for suggestions about further research that would be valuable in assessing the value and/or acceptance of performance-based pay for teachers in the Australian context. The brief for this report focused mainly on performance pay schemes designed to provide incentives for professional development and recognition of improved standards of teaching. Appended are: (1) Project Brief; (2) Current Awards and Agreements in State and Territory Government Schools; (3) The Incremental Scales in Non-Governmental Awards; and (4) Case Studies of Pay Arrangements in Six Independent Schools. (Contains 7 tables and 1 figure.)