If a scheme member is dismissed or made redundant, his/her benefits entitlement is subject to the governing rules.

Dismissal for Cause


For some ORSO schemes, the governing rules allow employers to forfeit either their portion of a member’s benefits or both the employer’s and member’s portions of the benefits under the ORSO scheme if the member is dismissed for cause.


For MPF-exempted registered schemes, the trustee cannot forfeit a member’s minimum MPF benefits (MMB) upon his/her dismissal from employment. Nevertheless, the trustee can withhold the portion of benefits that is in excess of MMB, in accordance with the governing rules of the scheme.


When a member’s employment is terminated with no reason given by the employer, or for reasons such as redundancy or severance, he/she may be entitled to receive benefits under the ORSO scheme. This is generally a lump sum from the scheme equal to the total of the member’s balance and the percentage of the employer’s balance determined in accordance with the vesting scale under the governing rules.