share on
At the same time, the number of employed persons grew to record 16.66mn persons in August 2024, a 0.2% increase from July 2024 (16.63mn).
The unemployment rate in Malaysia recorded a drop to 3.2% in August 2024, registering a total of 558,500 unemployed persons.
According to the Department of Malaysia's August 2024 Statistics of the Labour Force, the rate recorded was a 0.9% decrease month-on-month from July 2024.
Youth unemployment also improved, with the rate for those aged 15-24 declining to 10.4%, representing 303,000 unemployed. Similarly, unemployment among those aged 15-30 decreased to 6.4%, with 428,500 without work.
Of the total unemployed, 80% were actively seeking employment, with 61.8% out of work for less than three months. The number of inactively unemployed, those who believed no jobs were available, also saw a 1% decrease, dropping to 111,900.
Commenting on the overall labour market performance in the month, Chief Statistician Malaysia, Dato’ Sri Dr. Mohd Uzir Mahidin said: "The country's labour market in August 2024 continued to expand following the encouraging economic growth, with a continuous increase in the number of employed persons, while the number of unemployed persons continues to decline as well as the unemployment rate.
"In this regard, the number of labour force in August 2024 strengthened further, with a month-on-month increase of 0.1% to record 17.22mn persons (July 2024: 17.20mn persons).
"As recorded last month, August’s labour force participation rate stood at 70.4%," he added.
The report shared further details as follows:
Employment rate
Elaborating on the employment situation, the Chief Statistician Malaysia said, “Most of the employed persons were dominated by the employees’ category, encompassing 75.0%.
"In August 2024, this category showed a 0.2% increase to record 12.50mn persons compared to 12.48mn persons in July 2024.
"In the meantime, the own-account workers category remained on its positive trend and rose by 0.3% to 3.08mn persons as of last month (July 2024: 3.07mn persons).”
In terms of status in employment, the employee's category made up the largest composition of employed persons at 75%, followed by own-account workers (18.5%), employers (3.6%), and unpaid family workers (2.9%).
Employment in the services sector continued to rise, with notable gains in wholesale & retail trade, food & beverage services, and transportation & storage. The manufacturing, construction, mining & quarrying, and agriculture sectors also experienced similar growth in employment, reflecting a positive trend across various economic industries.
Labour force participation rate (LFPR)
The labour force participation rate (LFPR) between August 2023 to August 2024 increased from 70.1% to 70.4%.
According to gender, the 83.3% of the LFPR were from men, and 56.7% from women.
Outside labour force
As for the people outside the labour force, there was a slight decline of 0.01% in August 2024, totalling 7.23mn. The primary reasons for inactivity were due to housework and family responsibilities, accounting for 42.8%, followed closely by schooling or training, which made up 41.1% of the group.
In conclusion, Malaysia’s labour market is expected to remain stable throughout the year, driven by increasing tourism activities, expanding exports, and employment-related initiatives outlined in the country’s various master plans.
This upward trend in labour market performance signifies a strong confidence in both the job market and the overall economy. As the economy continues to grow, the labour force is expected to maintain its stability, with promising potential for further growth in the months ahead.
READ MORE: Malaysia's labour force participation rate reached a historic high in 2023
Infographics / DOSM
share on
