Malaysia jobless rate at new pandemic low

Employment growth remains in upbeat momentum with the country’s jobless rate now at a new pandemic low.

Malaysia’s labour market continues on strengthening as employment grew +3%yoy in Feb-22, biggest gain in 9-month.

The Labour force expanded steadily at +2.2%yoy while unemployed persons reduced further by -13.6%yoy, the largest contraction rate ever recorded.

Malaysia’s unemployment rate touched new post-pandemic low at 4.1% in Feb-22.

Job vacancies surged to a new record high. Number of job vacancies surged to 358.8K in Jan-22, highest ever recorded.

Jobless rate reflects recovery

This reflects a strong recovery in domestic economic activities fuelled by reflation in local demand and continuous expansion in the external sector.

However, more than 50% of the vacancies filled by low-skilled job namely Elementary Occupations. Share of high-skilled jobs declined such as Professionals 9.5% (Dec-21: 15.9%) and Technicians & Associate Professionals 5.7% (Dec-21: 12.4%). By sector, manufacturing took more than half of the pie.

Jobless rate to average at 4.0% for 2022. The unemployment rate is expected to trend lower this year. It is underpinned by a further recovery in the domestic economy, continuous upbeat momentum in global trade, and coupled skyrocketing commodity prices.

With the announcement of international borders reopening, Malaysia’s labour market recovery remains on a steady path following the possible return of non-citizens workers. MIDF

Photo: Pixabay