Voluntary Separation Scheme (VSS) is a scheme where employees are allowed to resign voluntarily from an organization by receiving fair compensation. The purpose of organizations implementing VSS is to reduce the headcount of employees working in the organizations so that the overhead cost especially employment cost can be reduced. The employees will be given a reasonable compensation to resign from the company for each year of service.
Usually, most organizations choose not to retrench / lay-off their employees in order to reduce the headcount of employees. It is to avoid bad reputation to the organizations.
In some countries, organization may need to get approval from the government (e.g., Ministry of Human Resources; Labour Dept; etc.). One of the criteria the government considers in approving VSS is that the organization is losing money for a certain period of time or has implemented other alternative cost cutting measure before resulting to retrenchment / VSS.
A person who got warning letter from company several years ago is that person also eligible for vss? I mean is there any condition in vss like this??? Answer as soon as possible.
ReplyDeleteThank you.
i want to ask is it true that VSS is under termination without notice in EA1955 or it is actually under termination by notice? which one is true?
ReplyDelete