KUALA LUMPUR — The number of legally registered foreign workers in Malaysia has fallen by 13% to 2.13 million as of mid-October, reflecting the government’s push to curb reliance on migrant labour and promote greater local workforce participation.
Deputy Human Resources Minister Datuk Seri Abdul Rahman Mohamad said the figure — down from 2.45 million recorded during the same period last year — underscores ongoing policy efforts to streamline recruitment and encourage sectors to invest in Malaysian talent.
“The manufacturing sector recorded 622,388 foreign workers, followed by construction (589,684), services (390,607), plantation (263,131), agriculture (158,628), domestic helpers (107,375) and the mining and quarrying sector (765),” he told the Dewan Rakyat today.
Abdul Rahman noted that recruitment is currently restricted to six main sectors — construction, services, plantation, agriculture, and mining and quarrying — with only domestic helpers permitted in the informal sector.
Under the 12th Malaysia Plan, foreign workers are capped at 15% of the total labour force. The government aims to reduce that share to 10% by 2030 under the 13th Malaysia Plan, and further to five per cent by 2035.
To accelerate the transition, the government has maintained a freeze on new foreign worker quota approvals since March 2023 and will introduce a Multi-Tier Levy system in 2026 to incentivise employers to hire locals, particularly in semi-skilled and skilled roles.
Abdul Rahman added that efforts are also underway to strengthen Technical and Vocational Education and Training (TVET) programmes through collaboration with HRD Corp, TalentCorp and Perkeso to boost upskilling and reskilling among Malaysian workers. — November 3, 2025