Eis Amendment Bill: Mobility Allowance To Be Paid In Lump Sum

KUALA LUMPUR, March 12 (Bernama) -- The implementation of the Employment Insurance System (Amendment) Bill 2025 will allow the Mobility Assistance Allowance to be paid as a lump sum to jobseekers who successfully secure new employment.

Deputy Human Resources Minister Datuk Khairul Firdaus Akbar Khan said the new provision under Section 37A is among four key amendments to the Employment Insurance System Act 2017 (Act 800), aimed at encouraging mobility and increasing the chances of Insured Persons (IP) obtaining suitable jobs.

He said the allowance would be given to IP who report for duty within 12 months after receiving their final job search allowance or re-employment allowance.

“One of the eligibility conditions is that the distance to the new workplace must exceed 100 kilometres for the IP to qualify for the mobility allowance. However, it will not be granted to those receiving the reduced income allowance,” he said when tabling the bill in the Dewan Negara today.

Khairul Firdaus said the amendments would also expand the role of the Social Security Organisation (PERKESO) through the renaming of the act to the Employment Insurance and Employment Services Act 2017, aimed at making it easier for jobseekers to fill vacancies offered by employers.

He added that the Cabinet on Feb 27 had agreed to revise the proposed fines for employers who fail to report job vacancies under Section 45F to avoid burdening micro and small enterprises.

“The proposed fines are not more than RM1,000 for the first offence, RM3,000 for the second offence and RM5,000 for the third and subsequent offences, compared with the earlier proposal of RM10,000,” he said.

In winding up the debate, Khairul Firdaus clarified that IP who lose their jobs due to misconduct or disciplinary action are not eligible for the benefits.

He said the determination of whether a termination is related to disciplinary action falls under the jurisdiction of the Labour Department (JTK), the Industrial Relations Department (JPP) and the Industrial Court.

The amendments to Act 800 are in line with strategies under the 13th Malaysia Plan (13MP) to improve workers’ well-being by strengthening social protection and addressing the increasingly dynamic labour market.

The bill was later passed with a majority voice vote after being debated by 12 senators.

-- BERNAMA