The premier has sent a letter to the province's public school teachers, the day before the education minister provides an update on the government's next steps in the labour dispute.

This comes just two days after the deadline to reach local contracts passed.

After thanking teachers for their work, Dalton McGuinty underlined Ontario is facing what he calls a "stubborn deficit left over from the recession". He maintains teachers are not alone in having to tighten their belts and repeats the province is asking pay freeze, the end to banking sick days and scaling back retirement benefits.

He says teachers are among the highest paid in North America and "are worth every single penny" but says "these terms are fair given the province's circumstances."

McGuinty maintains his preference has always been to have negotiated settlements, however given the deadline to reach these with school boards has passed, "Ontarians expect, rightly, that uncertainty in education will not continue indefinitely."

There have been questions on whether the education minister will announce she is imposing local contracts on the unions. Up until now, Broten has only said the province has the tools in place to end the teacher job action.