15th May 2025 - 3 min read
Malaysia’s labour demand continued its upward trajectory in the first quarter of 2025, registering a 1.4% year-on-year increase to 9.06 million jobs, according to the latest data released by the Department of Statistics Malaysia (DOSM). The expansion in job availability reflects the country’s improving economic momentum, underpinned by robust domestic demand and sector-wide growth.
Out of the total jobs recorded in the quarter, 97.9% were filled, while 2.1% remained vacant. The number of filled jobs rose by 1.4% to 8.87 million, compared to 8.75 million in the same period last year. Growth was evident across all sectors, with the services sector leading at 1.8%, followed by manufacturing at 1.5%, and construction at 0.5%.
The services sector accounted for the majority of filled positions, comprising 52.8% or 4.69 million jobs. Manufacturing followed with 26.9% (2.38 million jobs), and construction contributed 14.1% (1.25 million jobs). In terms of skill level, semi-skilled roles dominated with 5.55 million filled positions, making up 62.5% of total employment. Skilled jobs accounted for 2.23 million (25.2%), and low-skilled jobs comprised 1.09 million (12.3%).
Job vacancies also saw a modest increase of 1.2%, rising to 194,100 in Q1 2025 from 191,900 a year earlier. The manufacturing sector remained the largest contributor, responsible for 57.3% of total vacancies. Within this sector, the electrical, electronic, and optical products sub-sector recorded the highest number of unfilled positions at 33,900, followed by 20,200 in the petroleum, chemical, rubber, and plastic products sub-sector. The agriculture and construction sectors also reported significant vacancies, with 31,800 and 25,400 respectively.
Vacancies were most prevalent in the semi-skilled category, which made up 56.3% or 109,200 positions. Skilled and low-skilled roles accounted for 47,400 (24.4%) and 37,500 (19.3%) respectively.
In addition to existing jobs and vacancies, the labour market saw the creation of 33,200 new jobs in the first quarter of 2025, marking a 3.4% increase from 32,100 in the same period last year. Most of these new roles were semi-skilled (62.5% or 20,800), followed by skilled jobs (26.9% or 8,900), and low-skilled roles (10.6% or 3,500). The services sector contributed 16,000 new jobs, nearly half of the total, particularly in wholesale and retail trade. The manufacturing sector created 12,100 new positions, concentrated in the electrical, electronic, and optical products sub-sector, while construction added 3,600 roles.
Chief Statistician Dato’ Sri Dr Mohd Uzir Mahidin noted that the increasing demand for skilled and semi-skilled workers could motivate more individuals to pursue higher education and specialised training, contributing to the development of an innovative and capable workforce. He emphasised that the overall labour demand outlook remains positive, reflecting the government’s focus on sustainable growth and economic resilience.
The manufacturing sector’s importance as a driver of employment was reaffirmed in the Monthly Manufacturing Statistics, which recorded a 1.1% year-on-year increase in the number of persons employed. Uzir said this trend aligns with the goals of the New Industrial Master Plan 2030 (NIMP 2030), which aims to boost employment and enhance workforce capabilities within the manufacturing sector.
Samuel writes about personal finance and financial news, focusing on how banking updates, policies, and promotions affect everyday money decisions. He enjoys making complicated financial topics easier to follow. Outside of writing, he spends his time watching TV shows and occasionally convincing himself he will only watch one episode.
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