Yeap & Ang, Advocates & Solicitors

Yeap & Ang, Advocates & Solicitors Legal Firm

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09/04/2026

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🔥 MSS vs VSS in Malaysia — Don’t Confuse These Two!

Many employers think MSS and VSS are basically the same thing.

They’re not.

Yes, both are alternatives to retrenchment and involve ending employment by mutual agreement… but the process, approach, and legal risk are very different.

✅ VSS (Voluntary Separation Scheme)
➡️ Open invitation to many employees
➡️ Employees apply voluntarily
➡️ Employer may accept or reject
➡️ Usually comes with a standardised package

✅ MSS (Mutual Separation Scheme)
➡️ Employer targets specific employees
➡️ Private one-to-one negotiation
➡️ Terms are customised and negotiated
➡️ Only works when both sides agree

⚠️ Important reminder for HR & Employers:
Whether MSS or VSS, voluntariness is EVERYTHING.
If the employee can prove they were pressured or coerced, the Industrial Court may treat it as a disguised dismissal — and the company may face an unfair dismissal claim.

💡 In industrial relations, the method matters as much as the outcome.

Let's join our 2 days training with our Master Trainers, Mr. YK Lai, Puan Diana Khairuddin and Sarah Aziz.

Topic: Cost-Cutting Strategies: Workforce Reduction Option
Date: 16 & 17 April 2026
Download E-flyer here: https://lnkd.in/gEDwmy6h

Hotline: 018-7776416

Address

5P5 & 5P12, Kota Bharu City Point, Jalan Ismail Hilir
Kota Bharu

Opening Hours

Monday 09:00 - 17:00
Tuesday 09:00 - 17:00
Wednesday 09:00 - 17:00
Thursday 09:00 - 17:00
Sunday 09:00 - 17:00

Telephone

097449339

Website

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