Parliament votes through EIS amendments introducing progressive fines for unreported job vacancies

KUALA LUMPUR, June 30 — The Dewan Rakyat today approved amendments to the Employment Insurance System (Amendment) Bill 2025, introducing a progressive penalty structure for employers who fail to notify the Social Security Organisation (Socso) of job vacancies.

The amendments were passed by a majority voice vote after being debated by 13 MPs from both the government and opposition blocs.

The Bill was brought before the Dewan Rakyat today for consideration after the Dewan Negara approved amendments on March 12 to Clause 11 involving Subsection 45F(4), introducing fines of up to RM1,000 for a first offence, RM3,000 for a second offence and up to RM5,000 for a third or subsequent offence.

Winding up the debate, Deputy Human Resources Minister Datuk Khairul Firdaus Akbar Khan said the amendments place greater emphasis on education and compliance while ensuring a more organised employment ecosystem.

He said guidance and engagement sessions would continue to help employers comply with the reporting requirements.

“Employers will be issued compliance notices to enable corrective action before any compound is imposed,” he said.

Khairul Firdaus said the amendments also took into account feedback from employers gathered through engagement and advocacy sessions conducted by Socso with various sectors nationwide.

As a result of the feedback, he said, the maximum fine was reduced to RM5,000 from the original proposal of RM10,000, while the penalty for a first offence was revised to RM1,000.

Earlier, MPs participating in the debate urged the government to provide a user-friendly reporting system that is simple and does not place an undue burden on employers. They also said the amendments approved by the Dewan Negara strike a balance between fair enforcement and the operational realities faced by businesses.

Azahari Hasan (PN-Padang Rengas) said the reporting mechanism should be simple and efficient, as the data collected is crucial for job matching, reducing unemployment and supporting more effective labour market policies.

Nurul Amin Hamid (PN-Padang Terap) welcomed the reduction in the maximum fine from RM10,000 to a progressive structure starting at RM1,000 for a first offence, but expressed concern over the level of awareness among rural businesses, which may be less familiar with the Act’s requirements.

Meanwhile, Syerleena Abdul Rashid (PH-Bukit Bendera) stressed the importance of transparent job advertisements through government portals to ensure fair access to employment opportunities.

The Dewan Rakyat sitting resumes tomorrow. — Bernama