This means the school management sees you as potential to take on greater responsibilities via the leadership track.

Like SH, LH and then from there if possible progression to HOD. Do note that these days, most KPs are plateau at HOD level.

But nonetheless promotion is coming for you. You will hit SEO grades with much higher salary cap.

SH, LH can hit SEO 1 of 9k max salary cap.

HOD can hit SEO 2 of 10k max salary cap.

Whereas a HOT can only hit GEO 5 of 7.84k max salary cap. The salary differences between GEO and SEO was much lower but this changed when they revised the salary scheme in 2015 prior to the 2015 GE.