Eligibility
EIS Act
The Employment Insurance System Act 2017 covers all employees who are:
- Malaysian citizens/ permanent residents/ temporary residents
- Aged 18-60
- Working in the private sector and contribute to EIS
- Working under a contract of service
Benefits
Insured Persons (IP) are eligible to receive benefits if they:
- Apply within 60 days from the date of loss of employment (LOE)
- Satisfy the Contributions Qualifying Conditions (CQC) i.e. have paid monthly contributions for a minimum number of months
- Loss of employment (LOE) as defined in the EIS Act
LOE occurs if the contract of service of an Insured Person (IP) is terminated or becomes void. It includes:
- Normal retrenchment
- VSS/MSS (voluntary/mutual separation schemes)
- Closure of workplace due to natural disasters (force majeure)
- Bankruptcy or closure of the business
- 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 LOE:
- Dismissal due to employee misconduct
- Voluntary resignation
- Retirement
- Expiry of a fixed-term contract or completion of a project