EIS Amendments 2026 Malaysia: Higher Benefits and New Employer Reporting Requirements
Effective 1 October 2026, Malaysia’s Employment Insurance System (EIS), administered by PERKESO (SOCSO), introduces several enhancements to employee benefits and new compliance requirements for employers.
The amendments aim to provide stronger financial support to employees who lose their jobs, improve access to training and encourage re-employment opportunities.
Employers and HR professionals should familiarise themselves with these changes, particularly the new job vacancy reporting requirements and penalties under Section 45F.
1. Key Changes to EIS Benefits in 2026
The EIS amendments introduce four significant improvements for eligible employees.
Early Re-employment Allowance Increased to 50%
The Early Re-employment Allowance has increased from 25% to 50% of the remaining Job Search Allowance (JSA).
This benefit encourages eligible employees who have lost their jobs to return to employment earlier by providing additional financial assistance.
Training Allowance Increased to RM30 Per Day
The EIS Training Allowance has been revised to a flat rate of RM30 per day, compared with the previous rate of RM10 to RM20 per day.
The allowance supports eligible claimants attending approved training programmes to improve their skills and employment prospects.
Maximum Training Fee Increased to RM7,000
The maximum training fee covered under EIS has increased from RM4,000 to RM7,000.
This enhancement allows eligible employees to access a wider range of training and upskilling programmes to improve their employability.
New RM1,000 Mobility Assistance Allowance
A new RM1,000 lump-sum Mobility Assistance Allowance has been introduced for eligible claimants who secure new employment at a workplace located more than 100 kilometres from their residence.
The distance is measured between the claimant’s residence and the new workplace.
This allowance is intended to support job mobility and encourage employees to consider employment opportunities beyond their immediate residential area.
2. Summary of EIS Benefit Changes
| Benefit | Previous Provision | Revised Provision (2026) |
|---|---|---|
| Early Re-employment Allowance | 25% of remaining JSA | 50% of remaining JSA |
| Training Allowance | RM10 to RM20 per day | RM30 per day |
| Maximum Training Fee | RM4,000 | RM7,000 |
| Mobility Assistance | Not available | RM1,000 lump sum, subject to distance exceeding 100 km |
All benefits remain subject to PERKESO’s eligibility criteria and applicable conditions.
3. New Employer Reporting Requirements Under Section 45F
Apart from enhancing employee benefits, the EIS amendments introduce additional responsibilities for employers under Section 45F of the Employment Insurance System Act 2017 (Act 800).
Under the amended provisions, employers are required to notify PERKESO of job vacancies or newly created positions before filling them, subject to applicable requirements and exemptions.
Employers are also required to report filled positions within the prescribed period.
These requirements are intended to improve job vacancy information and support PERKESO’s employment matching initiatives.
4. Penalties Under Section 45F(4)
Employers who fail to comply with the applicable vacancy notification requirements may face penalties under Section 45F(4).
The maximum fines are as follows:
| Offence | Maximum Fine |
|---|---|
| First offence | RM1,000 |
| Second offence | RM3,000 |
| Third or subsequent offence | RM5,000 |
Employers should review their recruitment procedures to ensure compliance with the applicable reporting obligations.
5. What Should Employers and HR Teams Do?
In light of the EIS amendments, employers and HR professionals are encouraged to:
- Review recruitment procedures to accommodate the new job vacancy reporting requirements.
- Update internal HR policies and processes to reflect the revised EIS provisions.
- Inform affected employees about the enhanced benefits available under EIS.
- Monitor PERKESO announcements for implementation guidelines, reporting procedures and applicable exemptions.
Conclusion
The EIS Amendments 2026 introduce important improvements to employee protection, including higher re-employment benefits, increased training support and new mobility assistance.
At the same time, employers should pay attention to the additional vacancy reporting requirements and potential penalties for non-compliance.
Staying informed about these changes will help businesses maintain HR compliance while supporting employees during employment transitions.
For official information, employers and employees may refer to:
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