I'd be very hesitant to push a system that gave significant bonuses to salary increases based on going out and getting an additional degree. A.) Does the material in the additional education in any way contribute to making you better/more efficient/whatever at your job? B.) The risk of bullshit diploma mills goes up again.
I have family in education, and many districts have incentive programs for teachers to get Master's degrees, so that in addition to the pay bump, they get some or all of the tuition covered. I've known a number of people who've done this, and not one says that it helped them do a better job as a teacher - the programs were big rubber-stampers, and the only real outcome is that they are now not quite so pitifully paid.
This is very much a requirement for promotion in federal service. I've joked I'd get paid less than my wife whom holds a masters in government when I currently make 5x what she does and I'm currently underpaid.
I have family in education, and many districts have incentive programs for teachers to get Master's degrees, so that in addition to the pay bump, they get some or all of the tuition covered. I've known a number of people who've done this, and not one says that it helped them do a better job as a teacher - the programs were big rubber-stampers, and the only real outcome is that they are now not quite so pitifully paid.