Business

SOCSO signals cooperative approach, SMEs given time to adapt to job vacancy reporting rule

Agency says two-year moratorium will focus on guidance, system testing and confidence-building rather than enforcement, as employers adjust to proposed EIS amendments

Updated 5 months ago · Published on 13 Dec 2025 9:10AM

SOCSO signals cooperative approach, SMEs given time to adapt to job vacancy reporting rule
The aim is to turn vacancy notification into something that helps SMEs find talent and plan better, and not be a new layer of red tape - December 13, 2025

THE Social Security Organisation (SOCSO) has sought to reassure small and medium enterprises that it will not insist on immediate compliance with a new requirement to notify the agency of job vacancies, pledging instead to adopt a collaborative and supportive approach.

SOCSO, also known as PERKESO, said it would work closely with SMEs by offering hands-on guidance, clinics and help desks to ensure smaller firms clearly understand the requirements.

The agency said it would also gather structured feedback through engagements with groups such as the Malaysian Employers Federation, the Federation of Malaysian Manufacturers and the Small and Medium Enterprises Association Malaysia.

“SOCSO’s approach is not to demand instant compliance but to work with SMEs until the mechanism is sensible and practical,” the agency said in a statement to The Star.

“We will be simplifying the reporting process so that it is a single, light, digital step that fits into existing human resource routines.

“The aim is to turn vacancy notification into something that helps SMEs find talent and plan better, and not be a new layer of red tape.”

The assurances follow the government’s decision to impose a moratorium of up to two years on enforcing the proposed Section 45F of the Employment Insurance System Act, which would require employers to report job vacancies. The Dewan Rakyat recently passed amendments to the Act aimed at expanding support for PERKESO contributors who lose their jobs and strengthening the scheme’s governance.

SOCSO said job vacancy notification is a standard obligation in modern labour markets, comparable to tax e-filing or making EPF and PERKESO contributions online.

“During this transition period, no employer will be penalised under the new provision. The time is deliberately generous. It will be used to explain the requirement, test the system with real users, refine the rules and build confidence among SMEs,” it said.

Employers will continue using their existing hiring channels and complying with current EIS contribution requirements while participating in briefings and town halls explaining the forthcoming changes.

“Whether two years is enough is less about the calendar and more about what we do within that period,” the agency added.

According to SOCSO, the moratorium will begin with a design and consultation phase involving industry roundtables and SME sessions, followed by a voluntary, low-risk period in which employers can familiarise themselves with the reporting function.

“Only then will we move into the phase of formal enforcement once the system is proven workable. The fine of not more than RM10,000 only applies if it is brought to court. However, PERKESO will handle the compliance through administrative fines as low as RM100,” it said.

“That too, is if the employer refuses to collaborate after sufficient engagement has been done with the said employer.” - December 13, 2025

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