Statistics Department: Malaysia Sees Improved Labor Market and Lower Unemployment Rate Since December | Malaysia

Office workers are pictured at lunchtime in Kuala Lumpur on June 5, 2020. The labor market has been improving since last December with an unemployment rate lower by 4.2 percent with 687,600 unemployed while employment continued to increase. — Photo by Choo Choy May

KUALA LUMPUR, February 8 ― The labor market has improved since last December with the unemployment rate falling by 4.2 percent to 687,600 unemployed while employment continued to rise, according to the Statistics Department of Malaysia (DOSM) in a release on Malaysia Labor Force Statistics, December and Fourth Quarter 2021.

Chief Statistician Datuk Seri Mohd Uzir Mahidin said the Covid-19 pandemic which has hit the global economy for two consecutive years has hampered a full and balanced labor market recovery.

He said that to remedy the situation, initiatives have been implemented to ensure the protection of public health and that the country’s economy could be reopened in stages through the National Recovery Plan (PPN).

“Last December, the labor force continued to grow, with a marginal increase of 0.2% month-on-month to 15.65 million people. The employment-to-population ratio indicating the economic capacity to create jobs recorded a slight increase to 66.1%,” it said in the statement today.

He said employment in the services sector remained high for the sixth month, with the exception of manufacturing and construction sectors recording positive growth for five consecutive months, while employment in the sectors agriculture, mining and quarrying has continued to decline since August 2020.

Commenting on the unemployment situation last December, he said that according to the category of unemployed, the active unemployed or those who are ready to work and are actively seeking employment represent 83.8% of the total unemployed.

“This group recorded a decrease of 0.9% to 576,500 people. Unemployment for less than three months accounted for 55.9% while those who had been long-term unemployed for more than a year accounted for 7.6%.

“For those who believe there are no jobs available or classified as inactive unemployed, this group saw a decline of 1.3% to 111,100 people,” he said.

According to him, the overall labor force participation rate (LFPR) for the last year increased by 0.2 percentage points to 68.6% from 68.4% in 2020, and the increase in employment is due to the low labor force in 2020.

“In Malaysia, the effects of the Covid-19 pandemic have somewhat disrupted the economic recovery and have also affected the overall labor market recovery as its recovery is directly proportional to economic performance,” he said.

Mohd Uzir also said that with all states in PPN phase four from January 2022, business and social activities have been able to operate at full capacity and more travel activities within the country and abroad. abroad were also observed during this month.

He said the positive development signaled that the labor market should continue to improve in the coming months, but that did not take into account the challenges of new, more dangerous variants of Covid-19. ― Bernama

Comments are closed.