UW System Administrative Procedure 1277.C

Compensation: Recruitment Bonus

Original Issuance Date: December 27, 2022

Last Revision Date: December 27, 2022

1. Purpose of Procedures

The purpose of this procedure is to establish a process for the payment of recruitment bonuses for certain positions. This procedure outlines the criteria/factors that must be considered by an institution in the decision to grant a recruitment bonus.

2. Responsible UW System Officer

Associate Vice President and Chief Human Resources Officer

3. Definitions

Institution base funds: Institutional funds that are part of an institution’s budget, not part of Board of Regents pay plan funds.

Recruitment bonus: A lump sum paid to a newly hired employee above and beyond the regular rate for the position.

4. Procedures

Per UW System Administration Policy 1277, Compensation, institution base funds may be used to support lump sum payments for recruitment.

Upon the approval of an institution’s Chancellor, or designee, a recruitment bonus may be paid in an amount up to the institution’s determined limits (not to exceed 10% of the position’s fulltime annualized salary up to a maximum of $5,000). Criteria/factors to consider when establishing a recruitment bonus program can include, but are not limited to:

  • It is difficult to recruit candidates who possess the necessary knowledge, skills, and abilities (KSAs)
  • A position requires specialized qualifications. It is necessary to describe these qualifications specifically, including how they differ from those normally required for the position.
  • A legitimate business need exists to attract candidates with more than the minimum qualifications. This justification may be used when it is necessary to attract candidates who can function at an advanced level with only minimum orientation, and it is difficult to recruit candidates who possess advanced KSAs.
  • A previous recruitment failed to generate sufficient qualified candidates.

Additional Considerations:

  1. There must be budget available.
  2. The recruitment bonus was described and included in the recruitment notice/position advertising.
  3. The institution must specify when the recruitment bonus will be paid (e.g., with employee’s first paycheck, after a probationary period).
  4. The employee has no full-time UW service in the previous three years*.
  5. The employee must sign an agreement, as drafted by the institution’s Human Resources, agreeing to remain in that position for at least one year from the date of hire. If the employee leaves the position prior to that time for any reason, the employee must reimburse the institution for the entire amount of the recruitment bonus, unless the Chancellor, or designee, agrees otherwise.
  6. Institution is responsible for documenting the demonstrated need and criteria used to offer the recruitment bonus payment*Previous employment as a student hourly, employee in training, or student assistant does not exclude one from eligibility.

When any institution creates a recruitment bonus program, the institution shall transmit to UW-System Human Resources (UWSHR) the following information:

  1. The job code(s) for which recruitment bonus program was established;
  2. The criteria/factors used for the institution’s decision;
  3. The amount of the individual recruitment bonus payment to be paid;
  4. The number of new hires estimated to receive the recruitment bonus;
  5. The timeframe for which the recruitment bonus will be paid.

5. Related Documents

SYS 1277, Compensation

6. History

First approved: December 27, 2022