Eligibility and Conditions

The Employment Insurance System Act covers all workers who are

  1. Malaysian citizens / permanent residents
  2. Aged 18-60*
  3. Working in the private sector**
  4. Employed based on a contract of service
    * Important exception: Workers aged 57 and above who have never paid contributions before that age are NOT covered by the EIS Act and are NOT required to contribute
    ** The EIS Act does NOT cover domestic workers, the self-employed, civil servants, and workers in local authorities and statutory bodies.

To successfully apply for benefits, employees covered by the EIS Act should fulfill the following conditions:

  1. Apply within 60 days after their Loss of Employment (LOE).
  2. Meet our Contributions Qualifying Conditions (CQC) (i.e. must have paid contributions to SOCSO EIS for a minimum number of months within a specified period)
  3. Be unemployed under our definition of Loss of Employment (LOE)

The definition of Loss of Employment (LOE) includes:

  • Normal retrenchment and redundancy
  • VSS/MSS (Voluntary/Mutual Separation Scheme)
  • Closure of the company due to natural disasters
  • Bankruptcy or closure of the company
  • 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


The following CANNOT be accepted as Loss of Employment (LOE):

  • Dismissal due to misconduct by the employee
  • Voluntary resignation
  • Retirement
  • The expiry of a fixed-term contract (includes unconditional termination of a contract based on an employer-employee agreement or the completion of the project stated in the contract)
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