Golden hello

A Golden hello is

1. a generous welcome package for new employee from a rival firm to entice the employee to leave the competing company. A payment made to induce an employee to take up employment. Unlike a signing bonus, a golden hello is more likely to be extended to executive-level employees than to lower-level employees.

2. a payment from a government to an employer who takes on new staff when jobs are hard to find in a recession.

3. is more like financial incentive for graduates in STEM (science, technology, engineering and maths) subjects into teaching, in the UK.

A hiring company may spend millions of dollars for golden hello package. Hiring company hope the poached executive generates more benefits for them than the cost of bonuses. Following the financial crisis of 2008-2009, such compensation methods have become controversial.

It's difficult to make the payment rate be incentive for employee. Generally, employees who are senior-level receive higher golden hello than entry-level or mid-level employees, considering the skills, experience and talent for specific positions.

In a study by Aerotek and the Human Capital Institute, 46% of professionals(570) at companies said that the best way to attract senior-level employees is bonuses.

Employers can offer a one-time signing bonus or promise a specific timeline for raises to salaries.

Golden Hello build the foundation for a positive relationship between an employer and a new employee. The study “Can a Signing Bonus Motivate Effort?” indicated that trust is built between employers and new hire when employers offer signing bonuses. This is also incentive for new employers to work harder.

In the UK, a golden hello is financial incentive, not for executives, but for attracting graduates in STEM (science, technology, engineering and maths) into teaching in an maintained secondary school.

The scholarships, funded by Department of Education, were introduced in 2011 and are offering £30,000 for graduates with a good degree in physics, chemistry, computing or maths in 2016/17.

According to the document of National College for Teaching and Leadership, golden hello is only available to teachers "who trained through a postgraduate initial teacher training (ITT) course leading to qualified teacher status (QTS)". Teachers must meet the training, teaching and application criteria, in oder to be eligible for golden hello payment.

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Wikipedia