How Employers Can Assist with Unemployment Claims

Losing a job is stressful for any worker.

Employers may sometimes have to let go of employees because of business challenges or company restructuring.

While this is never easy, you can help by guiding them through the Employment Insurance System (EIS), which provides financial support and job search assistance.

If your employees understand how unemployment claims work, they can move forward more confidently.

Your role is important in making the process smoother for them.

What is an EIS Claim and How Can It Help if Your Employees Lose Their Job?

The Employment Insurance System (EIS), managed by PERKESO (SOCSO), was introduced in 2018 to help employees who lose their jobs.

It provides temporary financial aid and job search support so they can find new work.

Employees who qualify for EIS can receive:

Job Search Allowance (JSA), a financial support for up to 6 months.
Training programs and skill courses to increase job opportunities.
Job placement services to help with finding new jobs.

As an employer, your role is to make sure you contribute to SOCSO, provide necessary documents when employees apply for EIS, and guide them through the process.

JSA Under EIS PERKESO PRIHATIN Extended to 2021

The Job Search Allowance (JSA) helps employees who lost their jobs due to retrenchment, contract termination, or a Voluntary Separation Scheme (VSS).

This allowance gives them income for 3 to 6 months while they look for a new job.

During the pandemic, the EIS PERKESO PRIHATIN program extended JSA benefits.

Employees could receive 80% of their last salary in the first month, then a smaller amount for the next few months.

This program also included extra training and job-matching services to help people return to work faster.

Conditions for EIS PRIHATIN

Not every employee can apply for EIS. There are conditions that must be met:

The employee must have contributed to EIS for at least 12 months.
The job loss must be involuntary, such as retrenchment, redundancy, or company closure.
Resignation, retirement, or dismissal due to misconduct are not covered under EIS.

Employers must contribute to SOCSO every month. These contributions help employees get EIS benefits when needed.

How to Make Claims Under EIS PRIHATIN

Applying for EIS can be confusing for employees, but you can support them by explaining the steps:

Register with PERKESO through an online portal or at a PERKESO office.
Submit the claim within 60 days of losing their job and the required documents.
Employees may need to attend job interviews and training to receive their benefits.

Employers can help by providing termination letters, employment records, and salary details.

These documents make the claim process smoother and help employees get their payments faster.

Documents to Be Attached With The EIS Application

When applying for EIS, employees must submit:

Termination letter or retrenchment notice.
Copy of MyKad (front and back).
Latest 3 months’ salary slips.
EPF statement or contribution history.
Bank account details (to receive payment).

Employers need to prepare these documents early for affected employees. This makes it easier for them to apply without delays.

Employer Support and Guidance

Losing a job is tough, and how you handle it as an employer affects how employees see your company.

A little support can go a long way in helping them move forward.

There are some ways and tips to help the employees:

Be clear and respectful when informing employees about job loss. Explain the situation honestly and with empathy.
Give them information about EIS because many employees may not know about EIS benefits. You can guide them to PERKESO resources or video.
Help employees get the documents or paperwork they need for EIS claims.
Encourage job training and re-employment because employees who upskill have a better chance of finding new work.

Helping employees through job loss strengthens your company’s reputation and shows that you care about their future.

Even after they leave, they will remember how they were treated.

Unemployment claims under EIS help workers with money and job support when they lose their jobs.

Employers have an important role in helping employees understand the process and get the support they need.

Handling job loss with care and respect helps build trust, protect your company’s reputation, and create a better work environment.

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