Labour Participation Increases as Malaysia Unemployment Falls
Malaysia unemployment falls with lowest post-pandemic statistics
As Malaysia unemployment falls, the country’s labour force is showing great promise as of the third quarter of 2022. Citing stable economic factors, the Department of Statistics Malaysia (DOSM) attributes this upward trend to several contributing factors. These include an increase in social activities, tourism, as well as generally rising economic endeavours.
DOSM is confident that this positive curve will continue steadily even in the face of global factors. Malaysia’s stable economic fundamentals are capable of maintaining the momentum to position the country for growth and development optimally.
Correspondingly, the labour market will reflect this growth and maintain the ongoing recruitment drive. This, in turn, will drive the demand and supply economics of the nation, creating a healthy and future-proof ecosystem. DOSM expects this trend to continue to boost the nation’s labour market in the near future.
Promising Labour Statistics
Statistics for the unemployment rate in Malaysia assess the sum of people searching for employment. The calculation presents as a percentage of the existing labour force. As of October 2022, an unemployment rate of 3.6% reflects the strong economic basics of the country. This is a determining factor driving labour rates up as Malaysia unemployment falls.
Statistics show that the unemployment rate is on a downward trend, at its lowest since the pandemic. It currently shows a drop from 605,000 in September to 602,000. This signals a month-on-month increase to 16.7 million or 0.2%, up from 16.6 million in September 2022. September and October 2022 have the same 3.6% rates, a year-on-year decline from 2021’s rate of 4.5%.
Overall, this brings Malaysia’s labour force participation to 69.7% as of October 2022. Figures for August 2022 indicate a 3.7% rate for jobless individuals. Malaysia’s employment-to-population ratio continues to hold firm at 67.2%. This is the ratio that measure’s a country’s economic capacity to generate employment and sustain its fundamentals.
Towards a Robust Labour Market
Malaysia’s economy continues to recover and gain momentum with the start of a new year. Employment is on the rise in most industries, including agriculture, construction, and manufacturing. Another market segment showing robust labour market activity is the services sector. This includes insurance and finance, food and beverage, as well as wholesale and retail.
As these economic sectors experience an impetus, Malaysia unemployment falls with the ensuing robust hiring spree. It also presents an opportune time for entrepreneurs and investors to jump on the business bandwagon.
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