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, Human Resources Deputy Minister Datuk Khairul Firdaus Akbar Khan said the amendments place greater emphasis on education and compliance while ensuring a more organised employment ecosystem.
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 added that the amendments also took into account feedback from employers gathered through SOCSO's engagement and advocacy sessions with various sectors nationwide.
As a result of the feedback, the maximum fine was reduced from RM10,000 to RM5,000, 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, noting that the amendments approved by the Dewan Negara strike a balance between fair enforcement and the operational realities businesses face.
Padang Rengas MP Azahari Hasan 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.
Padang Terap MP Nurul Amin Hamid 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, Bukit Bendera MP Syerleena Abdul Rashid emphasised the importance of transparent job advertisements through government portals to ensure fair access to employment opportunities.
The Dewan Rakyat sitting resumes tomorrow.
