State-level policy support for teacher induction programs can help teachers realize their full potential, keep them in the profession, promote greater student learning, and save money. Higher education institutions and school districts must work together to provide high-quality and well-designed induction programs. This issue of "Policy Matters," a monthly brief that puts an issue in context, with possible developments outlined, presents the following observations: (1) During the past two decades, new thinking about induction has emerged nationwide and there are several promising comprehensive induction models; (2) There is growing evidence of the positive impact of induction programs on teacher retention, costs, teacher quality, and student learning; (3) Though many states require teacher induction, current state policy leaves much to be desired; and (4) Some states have made strides toward developing comprehensive induction programs, but limited and uncertain state funds challenge this progress. A list of resources is included.