In Indian employment and personnel policy, the term Golden Handshake scheme is most closely associated with which type of scheme?

Introduction / Context:
This question is about terminology used in organisational and labour policy. The phrase Golden Handshake is often used when organisations offer a generous financial package to employees who choose to leave service early. Understanding such terms is important for questions on human resource management, public sector reforms, and labour law.

Given Data / Assumptions:

• The term being defined is Golden Handshake scheme.
• The question asks which type of scheme this term refers to.
• Options include ordinary retirement, voluntary retirement, pension reforms, private executive bonus, and compulsory retrenchment.
• We assume general knowledge of human resource practices in government and corporate sectors.

Concept / Approach:
Golden Handshake usually refers to a voluntary retirement scheme where employees are encouraged to retire early in exchange for an attractive lump sum payment and other benefits. This is used by organisations to reduce surplus staff while avoiding forced retrenchment. It is different from normal retirement at the statutory age and from compulsory layoffs, because it relies on voluntary acceptance of an incentive package.

Step-by-Step Solution:
Step 1: Recall that Golden Handshake is an informal phrase, not the official legal title of a specific act. Step 2: Understand that it is used when employees are given a financial incentive to resign or retire early from service. Step 3: Recognise that this arrangement is typically part of a voluntary retirement scheme that aims to downsize staff without legal disputes. Step 4: Compare this understanding with the options given in the question. Step 5: Select voluntary retirement scheme for employees as the correct answer.

Verification / Alternative check:
Human resource management text books and newspaper reports on public sector restructuring often describe Golden Handshake schemes implemented in government companies and banks. These reports explain that employees who opt for voluntary retirement receive a lump sum severance package and sometimes additional benefits, which are collectively called a Golden Handshake. No authentic source uses this term for ordinary retirement or for schemes like One Rank One Pension, confirming that the association is specifically with voluntary retirement.

Why Other Options Are Wrong:
Retirement scheme at fixed age: Ordinary retirement at the age of superannuation is a normal service condition and is not called a Golden Handshake, because it does not involve special extra benefits for early exit.
One Rank One Pension scheme for ex servicemen: This is a pension equalisation policy in the defence sector and has nothing to do with voluntary early retirement in civilian organisations.
Private sector executive bonus scheme: Although high level executives can receive large payments when they leave, the exam term Golden Handshake in the Indian context is generally tied to voluntary retirement schemes, not regular bonuses.
Compulsory retrenchment scheme: Compulsory retrenchment is an enforced termination of service and is quite different from a voluntary scheme based on consent, so this option is incorrect.

Common Pitfalls:
Some learners confuse Golden Handshake with any kind of generous payment, including high salary bonuses, without noticing that it is specifically connected to early exit from service. Others mix it up with pension related policies like One Rank One Pension because all involve money paid to those leaving active work. The safest way to avoid confusion is to remember that the handshake image suggests a parting on mutually agreed terms, which fits voluntary retirement with a special package.

Final Answer:
The Golden Handshake scheme is most closely associated with a voluntary retirement scheme for employees.