KUALA LUMPUR – Malaysia’s unemployment rate fell to three% in April 2025 – the lowest recorded in a decade – down from 3.1 per cent in March, according to the Department of Statistics Malaysia (DOSM).
Chief Statistician Datuk Seri Dr Mohd Uzir Mahidin said the number of unemployed persons declined by 0.7% to 525,900 in April, compared to 529,600 in the previous month, Bernama reported.
“A promising country’s economic position has contributed to stable progress in Malaysia’s labour force during the month, with an increase in the number of employed persons and higher labour force participation rates, while unemployment continues to decrease,” he said in a statement today.
He added that the labour force continued its upward trend, rising by 0.2% to 17.34 million persons from 17.31 million in March.
“Consequently, the labour force participation rate rose by 0.1 percentage points to 70.8% compared to 70.7% in March, indicating more labour participation in the market,” he said.
Services sector drives employment growth
In terms of economic sectors, Mohd Uzir said the services industry remained the primary driver of employment, with notable increases in wholesale and retail trade, accommodation, food and beverage services, and transport and storage.
Positive momentum was also seen across the manufacturing, construction, agriculture, as well as mining and quarrying sectors, he noted.
The unemployment rate for youths aged 15 to 24 remained unchanged at 10.3% in April, with 298,300 individuals unemployed in that age group.
Meanwhile, the number of persons outside the labour force increased slightly by 0.2 per cent to 7.17 million in April, compared to 7.16 million in March. The main reasons cited were housework and family responsibilities (43.7 per cent), followed by schooling and training (41.1 per cent).
Mohd Uzir said Malaysia’s labour force is expected to remain optimistic and expand in the coming months, supported by sound economic policies and stable domestic demand.
“Despite the global geopolitical tensions, Malaysia’s labour force is seen to remain resilient due to stable unemployment, the growing services sector and technology, as well as an increasing investment in digitalisation and automation,” he said. – June 11, 2025