A group of experts will consider the future pay and conditions of teachers in Wales, with a new system in place from September 2019.
Powers will be transferred to Welsh ministers as part of the Wales Act which became law earlier this year.
A task force chaired by education expert Prof Mick Waters will be set up in the new year as part of a public consultation process.
It will make recommendations to the government by autumn 2018.
A Wales-specific system will then be set up.
Education Secretary Kirsty Williams said being tied to an England system was "no longer appropriate, relevant or to the advantage of the profession in Wales".
She said devolving powers would enable a system "more relevant to Wales" to be set up.
"The group will review the current arrangements for teachers' pay and conditions and consider the benefit and barriers of the current system and where specific policy consideration should be given to address issues," she said.
Ms Williams said the new pay and conditions regime would enshrine the Welsh system's values.
She said it would be based on "equity and excellence, a commitment to inclusive, public service education and to supporting our teachers to raise standards for all".
Some teaching unions have been opposed to devolving pay and conditions amid fears that Welsh teachers could get a worse deal than those across the border.