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Followed by the VSS Application letter by the employees, the employer upon acceptance of the application, may get the employees to sign a receipt and discharge letter, as follow:

I, <name> (<NRIC No.>) do hereby acknowledge receipt of the sum of RM<amount> (received under cheque no. <number>) and hereby agree with <company name> (hereinafter referred to as "the Company"0 That the said sum shall constitute full and final settlement of my employment with the Company.

In consideration of my receipt of the above mentioned sum, I declare that I have no further or other claim of whatsoever nature against the Company, its holding company, associated companies, directors, servants, agents and employees (hereinafter referred as "the Relevant Entities"). I also undertake to release each of the Relevant Entities against all my claims, rights, demand and causes of action of whatsoever against such Relevant Entities whether in the present, past or future.

I further agree to fully indemnify and hold each of the Relevant Entities harmless from any legal fees (on a solicitor-client basis), loss, expense, damage or liability in connection with any such claim, right, demand, and/or cause of action made by myself or my agents whether under the Industrial Relations Act 1967 or otherwise.

<Signature>

<Date>

<Signature of Witness>

<Name>

<NRIC No.>

In Malaysia, three types of group insurance are commonly provided by employers to employees as part of their staff benefits. These three types of insurance are Group Hospitalisation and Surgical Insurance (GHS), Group Personal Accident Insurance (GPA) and Group Term Life Insurance (GTL).  

Some companies will handle such insurance administration, inclusive of getting quotation, negotiation, claim administration and appeal, etc, directly with the insurance companies. The staff who is in-charge in this matter must then possess some insurance knowledge in order to carry out his job efficiently, especially being able to negotiate with the insurance companies to minimise the cost and widen the coverage.

However, some companies will be using insurance broker to handle their staff insurance or general insurance. The benefits of using insurance broker are as follows:

• They are able to obtain competitive rates and terms because of their expertise and bulk purchasing power.
• They are able to provide unbiased professional opinion, as they are not tied to any particular insurance company.  
• They do not charge the employers any fees as they earn their brokerage from the Insurer with whom they placed their business.
• They are a one-stop centre for all types of insurance.
• They are able to provide the information of the latest trend and advise the best coverage of insurance within certain budget.
• They handle all insurance claims administration on behalf of the companies, which would reduce paper work and perhaps manpower cost of the companies.  

Insurance broker would be a good source if you are serious about saving your company’s cost on insurance and widen the coverage.

If your company is offering VSS to your staff, you may use the following template of Application of VSS:

<Date>

To: <Company Name>

Dear Sir

Application for Voluntary Separation Scheme

I wish to voluntarily apply for the Voluntary Separation Scheme as offered by the Company in its letter dated <date> on the terms and conditions contained therein.

If selected, I agree to accept the compensation package offered in full and final settlement of all my claims and agree to sign the receipt and discharge letter reffered to in the said letter and obtain the necessary clearance from the Inland Revenue Department as condition precedents to payment.

I understand that my decision to opt for VSS by way of this application is irrevocable and is subject only to the Company’s right to accept or reject my application at their absolute discretion.

Yours faithfully

<Name>

<NRIC No.>