Minister: EIS benefits 1,336 retrenched workers

The approved applicants will receive RM600 monthly for a period of 3 months


The Social Security Organisation (Socso) has disbursed a total of RM802,800 to retrenched workers as interim benefit under the Employment Insurance Scheme (EIS). 

Human Resources Minister Datuk Seri Dr Richard Riot Jaem (picture) said the EIS benefits will be completely introduced next year, a year after the implementation of the insurance scheme.

Riot said as of Feb 28, 2018, 1,336 applicants for EIS have been approved from 2,471 applications. The approved applicants will receive RM600 monthly for a period of three months.

“A total al locat ion of RM122 million from the government through the Economic Planning Unit have been allocated to ensure that the system would be effective,” Riot told the Dewan Rakyat yesterday.

He was responding to a question from Pasir Gudang MP Datuk Normala Abdul Samad, who asked on steps taken by the government to ensure smooth implementation of the EIS.

Riot said a total of 240,077 employers participated in the insurance scheme as of Feb 15, which involved a total contribution of RM19.92 million.

He said Socso contributors who are retrenched between Jan 1 and Dec 31, 2018, will be eligible and entitled to the interim benefit.

“Starting from February 2018, employers may register and make payment for contributions through Socso’s Assist Portal, whereas the first payment of EIS benefits for workers with loss of employment shall commence in January 2019,” he said.

The EIS law which was passed by the Dewan Rakyat on Dec 17, 2017, is targeted to assist private sector workers who are retrenched.

They will receive financial assistance as a means to help them before they can find new employment.

Under the EIS scheme, the contribution from employers will be 0.2% of an employee’s monthly salary and likewise from the employee.

The implementation of the EIS would benefit and protect the interests of 6.5 million existing workers under the Employees’ Social Security Act 1969.

“Aside from the allowance aid, workers who were laid off are also offered upskilling and reskilling programmes that would help them get a job in the near future,” Riot added.

He said applicants are also required to participate in the Re-Employment Placement Programme, which is regulated by Socso.