Employment Insurance

The Employment Insurance System (EIS) was established on 1st January 2018 to provide income replacement for Insured Persons (IP) who have lost their jobs. IPs who apply to PERKESO will receive re-employment assistance from Employment Services Officers (ESO). As part of their job search efforts, IPs are required to enroll with MyFutureJobs, where they will be matched to suitable vacancies. Eligible IPs can also choose to attend skills training during the unemployment period or after they are re-employed as part of the EIS active labour market program.

Insured Persons (IP) are eligible to receive benefits if they:

  • Apply within 60 days from the date of loss of employment (LOE).
  • Satisfy the Contributions Qualifying Conditions (CQC) i.e. have paid monthly contributions for a minimum number of months.
  • Loss of employment (LOE) as defined in the EIS Act.

Loss of employment includes:

  • Normal retrenchment.
  • VSS/MSS (voluntary/mutual separation schemes).
  • Closure of workplace due to natural disasters (force majeure).
  • Bankruptcy or closure of the business.
  • Constructive dismissal.
  • Resignation due to sexual harassment or threats made in the workplace.
  • Resignation after being ordered to perform dangerous duties that are not within the job scope.

EIS Benefits

Job Search Allowance (JSA)
  • Replacement income for those who have lost their sole source of income.
  • Eligible recipients will receive the allowance for 3-6 months.
  • The duration of payment will depend on the recipient’s Contributions Qualifying Conditions.
Reduced Income Allowance (RIA)
  • Replacement income for those who have multiple sources of income and have lost one or more, but not all, sources of income.
  • In the event of simultaneous loss of all jobs, the applicant is entitled to both JSA and RIA.
  • Payment rates and duration are the same as those of JSA.
  • Paid in a lump sum.
Early Re-employment Allowance (ERA)
  • A financial incentive for JSA recipients who return to work while still receiving JSA.
  • Worth 25% of the JSA the recipient is eligible for but has not yet been paid.
  • Paid in a lump sum.
Training Fee (TF)
  • Eligible JSA recipients may be referred to attend vocational skills training after consulting their ESO
  • Training costs of up to RM4,000 will be borne by EIS
Training Allowance (TA)
  • An incentive paid at a daily rate of RM10-20 depending on the recipient’s previous assumed salary
  • Training recipients must attend all mandated training sessions to be eligible

Menara PERKESO, Jalan Ampang, Kuala Lumpur

This email address is being protected from spambots. You need JavaScript enabled to view it.


Copyright 2023 © Social Security Organisation | All rights reserved