Employment Insurance System (Amendment) Act 2026

This Act comes into operation on a date to be appointed by the Minister by notification in the Gazette and the Minister may appoint different dates for the coming into operation of different provisions of this Act.

by inserting after the definition of “contribution”

the following definition:

‘ “mobility assistance allowance” means a lump sum payment to an insured person to assist the re-employment placement of the insured person who has accepted an offer of employment;’;

in the definition of “benefit”, by substituting for the words “and a training fee” the words “, a training fee and a mobility assistance allowance”; and

by substituting for the definition of “waiting period”

the following definition:

‘ “waiting period” means a period which starts from the date of submission of a claim for benefits under section 27 until the date of approval of a claim for benefits under section 33;’.

An employer shall not deduct the employer’s contribution from any wages payable to an employee or recover the employer’s contribution from the employee in any manner.”.

has reported duty for work within a period not exceeding twelve months after receiving the last job search allowance; or

has reported duty for work within a period not exceeding twelve months after receiving the early re-employment allowance, the insured person shall be entitled to a mobility assistance allowance at the rate as specified in the Third Schedule in such manner as prescribed and shall be subject to the terms and conditions as determined by the Organization.”.

in the shoulder note, by inserting after the words

“establish centre or institute” the words “, or co-operate with any person”; and

by inserting after the words “establish any centre or institute” the words “, or co-operate with any person, ”.

carry out employment brokerage including advertisement, job matching, job counselling and career advice; and

perform any other function relating to employment services as the Organization thinks fit.

Appointment of employment agent 45d.  The Organization may appoint any person licensed under the Private Employment Agencies Act 1981 [Act 246]

as employment agent for the purposes of employment brokerage subject to any terms and conditions and in the manner as determined by the Organization.

Registration of employment services 45e.  (1)  The Organization may register any person who has attained the age of eighteen years for the purposes of employment services in the manner as determined by the Organization.

Notwithstanding subsection (1), any person may register himself with the Organization for the purposes of employment services in the manner as determined by the Organization.

Duty of employer to notify job vacancy and new position 45f.  (1)  For the purposes of employment brokerage, every employer shall notify the Organization in writing about a job vacancy or new position before the hiring of an employee to fill the job vacancy or new position.

The Organization may obtain, use or advertise information of any job vacancy or new position obtained by newspaper, publication, radio, television or any other form of mass communication, including electronic or digital platforms, in the manner as determined by the Organization.

Where the job vacancy or new position has been filled, the employer shall notify the Organization in writing of that fact within the period of seven days after the job vacancy or new position is filled.

Any employer who contravenes subsection (1) commits an offence and shall, on conviction—

The Appellate Board may regulate its own proceedings.”.

Amendment of section 67

by inserting after paragraph (b) the following paragraph:

“(ba) to carry out the employment services;”; and

in paragraph (c), by substituting for the words

“and provide” the words “, provide and disseminate”.

in paragraph 2, by substituting for the words

“twenty-five percent (25%)” wherever appearing the words “fifty percent (50%)”;

Employment Insurance System (Amendment)

in paragraph 4, by substituting for subparagraph (a)

the following subparagraph:

“(a) shall be paid at the rate of thirty ringgit per day; and”;

in paragraph 5, by substituting for the words “four thousand ringgit” the words “seven thousand ringgit”; and

by inserting after paragraph 5 the following paragraph:

“5a.  The amount of the mobility assistance allowance shall be one thousand ringgit.”.

Any approval, decision or other act granted, made or done before the date of coming into operation of this Act shall be deemed to have been granted, made or done under this Act and shall continue in full force and effect in relation to whom they apply as if the principal Act had not been amended by this Act.

Where on the date of coming into operation of this Act, the claim for benefits under section 27 of the principal Act is pending before the Organization, the provisions of the principal

Act relating to claim for benefits as amended by this Act shall apply.