The number of employed people in Malaysia has remained on the increasing trend in the second quarter of 2023 although at a slower rate of 2.8% (444,900 persons) year-on-year. This was compared to 3.1% in the previous quarter with a record of 16.15 million people, according to the Department of Statistics’ Labour Market Review Q2 2023.
During the same period, the employment-to-population ratio indicates the ability of the economy to create employment rose by one percent (p.p) from the same quarter of the preceding year, to 67.5%.
Quarter-on-quarter, the number of employed people increased by 0.5% shows growth of 84,100. Consequently, the employment-to-population ratio also increased by 0.1 p.p against the previous quarter.
Most employed people comprised of semi-skilled occupations category, making up the share of 59.2% (9.55 million people) in Q1 2023. This category increased by 2% (184,000) compared to Q2 2022.
Furthermore, the skilled occupations category that made up 27.9% of the total employed people, grew by 2.9% (125,600) year-on-year and registering a total of 4.51 million people. The remaining 12.9% was in the low-skilled category, which grew by 7% (135,300) and accounted for 2.08 million people.
Related link: Malaysia’s Labour Productivity By Sector in Q2 2023
Against the previous quarter, the number of employed people in all skill categories recorded an increase although at moderate rate. The semi-skilled category grew 0.4% (37,200) from Q1 2023. Meanwhile, the number in skilled and low-skilled occupations categories rose 0.6% (25,400) and 1% (21,400) respectively.
By status in employment, all categories of employed people indicated year-on-year positive trends in Q2 2023, except unpaid family workers. Making up 3% of the total employed people, this category declined 1.2% (6,000) from Q2 2022 to record 490,300 people. At the same time, the employees’ category, made up of paid employment in the public and private sectors, encompassed 75% of employed people. The number in this category surged 1.9% or 228,400 people to record 12.10 million people.
Those employed as own-account workers are those involved in various roles from traditional employment as farmers, retailers and hawkers to professional employment such as consultants and freelancers. This group comprised 18.4% or 2.97 million people after showing a rise of 7.1% (195,800) compared to the same quarter of the preceding year.
Meanwhile, the employers’ category, which comprised 3.6% of total employed people, went up by 4.8% and thus accounted for 585,200 people in Q2 2023.
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The employees’ category grew 0.4% (45,500)
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Own-account workers grew by 1.1% (32,700)
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Both employer and unpaid family worker categories improved marginally by 0.6% (3,500) and 0.5% (2,400) respectively