MEF backs RM1,000 mobility allowance for workers relocating for jobs

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20 Sep 2026 • 2:42 PM MYT
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MEF welcomes RM1,000 Mobility Assistance Allowance for eligible Perkeso contributors taking jobs more than 100km from home from Oct 1

PETALING JAYA: The Malaysian Employers Federation (MEF) has welcomed the new one-off RM1,000 Mobility Assistance Allowance for eligible Social Security Organisation (Perkeso) contributors who secure employment more than 100km from their homes.

MEF senior adviser for government, media and international engagement Datuk Dr Syed Hussain Syed Husman said the initiative, which takes effect on Oct 1 under amendments to the Employment Insurance System (EIS) Act 2017, was a practical measure to support employment.

“Employment opportunities do not always arise within commuting distance of a worker’s home,” he said in a statement.

“The one-off RM1,000 Mobility Assistance Allowance recognises that relocation and extended travel may involve genuine upfront costs for workers who are prepared to take up new employment.”

He said improved geographical mobility could also help employers fill vacancies by widening the pool of suitable workers beyond the immediate local area, particularly in sectors and regions facing difficulties sourcing workers with the required skills and experience.

“From employers’ perspective, improving geographical mobility will contribute to a more efficient labour market by enabling vacancies to be matched with suitable workers beyond the immediate local area,” he said.

Human Resources Minister Datuk Seri R. Ramanan had announced that EIS contributors would be entitled to enhanced benefits of up to RM25,000 from Oct 1, including higher re-employment, mobility and training allowances.

The amendments include raising the Early Re-employment Allowance from 25% to 50% of the remaining unpaid Job Search Allowance for eligible workers who return to employment early.

The maximum training fee covered will also be increased from RM4,000 to RM7,000, while the daily training allowance will rise to RM30.

Syed Hussain said the combined re-employment, mobility and training support was relevant to the changing needs of Malaysia’s labour market.

“The labour market is becoming more dynamic. Workers may need to move to where the jobs are, acquire new skills and transition into different occupations.

“A stronger employment insurance system should therefore not only provide income support during unemployment, but also facilitate a faster and more sustainable return to work.”

He said employers would benefit when employment services and worker-support programmes helped reduce the time taken to fill vacancies and improved job matching.

Syed Hussain also said clear communication on eligibility criteria, application procedures and payment timelines would be important to ensure workers and employers could access the scheme effectively.

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