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Applications open for JaminKerja: Employment incentives for Malaysia employers with new hires

Applications open for JaminKerja: Employment incentives for Malaysia employers with new hires

The initiative applies to employers who hire apprentices, graduates, vulnerable groups including the disabled, ex-servicemen, ex-prisoners, senior citizens, and the general unemployed from 1 January 2022. Applications close on 30 June.

Employers with new hires from 1 January 2022 can now look forward to an employment incentive under the Government's Jamin Kerja Keluarga Malaysia (JaminKerja/Job Guarantee Programme - Employment Incentives) initiative.

Announced in October as part of Budget 2022, the programme will apply to employers who hire apprentices, graduates, vulnerable groups including the disabled, ex-servicemen, ex-prisoners, senior citizens, and the general unemployed. 

According to Finance Minister Tengku Zafrul Aziz, who detailed the package during the tabling of the Budget, JaminKerja will guarantee 600,000 job opportunities with an allocation of RM4.8bn.

Here is everything you need to know about applying for this incentive, for which applications close on 30 June 2022.

Eligibility

Employers who are eligible to apply for the programme are:

  • Employers from all industry categories registered with SOCSO before 1 January 2022
  • Employers from the public sector, federal and state statutory bodies, remuneration separated statutory bodies, and local authorities (PBT) are only eligible for the apprenticeship category.

Ineligible employers are:

Private employment agencies or outsourcing companies (outsourcing/contractor for service) that provide job placement services to another company (principal) and not as the main employer. However, an employment agency or an outsourcing company acting as a direct employer, which implements the payment of salaries and employee contributions, is eligible to apply for this incentive.

Eligible employees are by category, as follows:

 Categories Eligibility requirements
 Apprenticeship
  • Workers aged 18 - 30 years
  • Executive positions only
 General jobseekers
  • Workers aged 16 - 50 years
  • Unemployed for at least 60 days
 Vulnerable groups
  • Unemployed individuals exceeding the 180-day period for SIP Beneficiaries
  • Ex-military personnel
  • Indigenous people
  • Ex-prisoners/people on parole
  • People with disabilities (OKU)
  • Employees aged 50 and over
 Women
  • Unemployed for more than six months
  • Single mothers/housewives who are not actively working
  • Flexible job offers
Jobs under key sectors
  • Jobs that are under tourism-related sectors
Replacement of foreign workers and expatriates
  • Employers who have proof of hiring expatriates or foreign workers and fill replacement roles with Malaysian employees

Incentive rates

  • An incentive of 20% of gross salaries up to RM12,000 will be given for each employee if they have been successfully employed for the first six months, and of 40% of gross salaries up to RM24,000 if the employee is employed for the next six months.
  • In total, a maximum incentive of RM36,000 will be provided for each individual hired under this initiative.
  • The incentives will be paid to the employer every two months for employment performed within 12 months.
  • Payment will be made for the period the employee is active and will be terminated in the event of resignation.
  • A mobility allowance of RM500 will also be provided to recruited employees, paid directly on a 'one off' basis to the employees who will be paid if the first month the recruitment incentive is approved.
    Incentive rates
 CategoriesMonths 1-6Months 7-12Minimum terms & contract period
 Apprenticeship RM900 None

RM1,500; 6 month contract

 General job seekers 20% of the employee's gross salary 30% of the employee's gross salary RM1,500;
12-month contract
 Vulnerable groups 30% of the employee's gross salary 40% of the employee's gross salary salary of the employee RM1,200;
12-month contract
 Women 30% of the employee's gross salary 40% of the employee's gross salary RM1,200;
12-month contract
 Jobs under key sectors 30% of the employee's gross salary 40% of the employee's gross salary RM1,500;
12-month contract
 Replacement of foreign workers and expatriates 10% of the employee's gross salary is paid directly to the employee (minimum RM300 10% of the employee's gross salary is paid directly to the employee (minimum RM300)RM1,200;
RM3,000 to Expatriates;
12-month contract

How to apply for the Job Guarantee Programme - Employment Incentives

  • The deadline for applications is 30 June 2022.
  • Required documents:
    • Employer's bank account information (front copy with employer's name), employer's account number and bank name
    • Information on the employer's business registration number that has been confirmed by the Bank ( Business Registration Number - BRN)
    • BRN Employee Verification Form signed by the employee
    • Employee's bank account information (copy of the front page of the Bank Statement with the employee's name, employee account number, identity card number and bank name)
  • Steps to apply for the initiative:
    • Employers need to register job vacancies on the MYFutureJobs Portal
    • Once the recruitment is implemented (recruitment starts 1 January 2022), register new employees on the JaminKerja Portal to apply for the JaminKerja Program - Employment Incentives
    • The employer will receive the approval of the eligible employee within 14 working days from the date of application
    • The employer is required to pay the salary per the employee's offer letter
    • Payments to employers will continue to be credited every two months based on records of compulsory contributions to SOCSO and the EPF
    • Employers can apply for incentives through the JaminKerja Portal from 17 January 2022
    • Payment will be credited to the company's (employer's) account if the application has met the eligibility requirements.
    • Payment of mobility assistance and Malaysianization Incentives will be credited to the employee's account if the application has met the eligibility requirements.
    • Payment for application claims will be made every two months, up to a period of six months for the apprenticeship category and 12 months for other categories.
    • To get the incentive every two months, the employer must ensure that the salary payment as offered in the contract, SOCSO contribution payment and EPF contribution are implemented within the stipulated period.

 

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