The recent workforce reductions at Petronas were partly driven by overlapping job functions following the company’s adoption of new technologies, including artificial intelligence (AI) and digitalisation, Prime Minister Dato’ Seri Anwar Ibrahim told Parliament.

He said the changes, aimed at improving operational efficiency, had resulted in role redundancies even as the national oil company remained profitable.

Support for Affected Employees

Anwar assured that employees affected by the layoffs would not be left without support. Various initiatives are in place to safeguard their welfare and that of their families, including offers of employment in other government-linked companies and government-linked investment companies.

“This is not a minor issue. I have personally held multiple discussions with the group chief executive officer Tengku Tan Sri Muhammad Taufik to address this matter,” Anwar said during Prime Minister’s Question Time in the Dewan Rakyat.

Efficiency Gains Drive Decisions

The Prime Minister explained that while Petronas continues to post healthy profits, operational efficiency remains a key priority. The integration of digital solutions and AI has streamlined operations, which in some cases has made certain positions redundant.

He made the remarks in response to a question from Tampin MP Datuk Mohd Isam Mohd Isa on why job cuts were necessary at a profitable company.

Broader Impact of AI on Malaysian Jobs

Separately, a TalentCorp study forecasts that AI, digitalisation, and the green economy will affect 620,000 jobs in Malaysia within the next three to five years.

Deputy secretary-general of the Ministry of Human Resources Sutekno Ahmad Belon said emerging sectors such as high-tech manufacturing and smart logistics are expanding rapidly. Careers in these industries require a combination of technical and soft skills, including critical thinking and digital literacy.

The Malaysia Critical Occupations List and MyMahir impact study confirm that these skills will remain in high demand across multiple sectors. Sutekno emphasised that the National Workforce Reform focuses on future job analysis and lifelong learning to help Malaysians adapt to evolving labour market needs.

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• TAGS:
• AI Adoption
• Anwar Ibrahim
• Digitalisation
• Job Cuts
• Jobs
• Petronas