Malaysia’s labour productivity measured as value added per hour worked increased 2.1 per cent, year-on-year, with total hours worked increased 3.5 per cent to register 9.2 billion in the first quarter of 2023.
Malaysia’s economy expanded 5.6 per cent after recording a growth of 7.1 per cent in the previous quarter. In terms of level, labour productivity by value added per hour worked was RM41.2.
Labour productivity by value added per employment grew 2.4 per cent, year on year, as total employment increased 16.1 million persons, or a growth of 3.1 per cent. In terms of level, labour productivity as expressed by value added per employment was RM23,712.
Agriculture
Labour productivity per hour worked in the Agriculture sector remained sluggish at negative 0.9 per cent, year-on-year. Value added for this sector posted an increase of 0.9 per cent while hours worked increased 1.8 per cent.
In the first quarter of 2023, labour productivity by value added per employment for this sector decreased 0.2 per cent, while employment rose 1.1 per cent. Value added per hour worked for this sector was RM22.7, while value added per employment was RM12,172.
Mining and quarrying
For Mining and quarrying sector, labour productivity measured as value added per hour worked increased 1.6 per cent, year-on-year, as value added for this sector expanded 2.4 per cent and hours worked increased 0.9 per cent.
Labour productivity by value added per employment also recorded an increase of 1.9 per cent as employment increased at 0.5 per cent. In terms level, labour productivity expressed as value added per hour worked and value added per employment were RM539.5 and RM323,940, respectively.
Manufacturing
In the first quarter of 2023, labour productivity in terms of value added per hour worked for the Manufacturing sector improved marginal at 0.2 per cent (Q4 2022: 0.3%), year-on-year, with growth of value added at 3.2 per cent and hours worked 3.1 per cent.
Four subsectors that recorded increases in productivity per hour worked were Beverages and tobacco products (5.6%); Textiles, wearing apparel and leather products (4.4%); Vegetable and animal oils & fats and food processing (2.2%); and Non-metallic mineral products, basic metal and fabricated metal products (1.9%).
Meanwhile, labour productivity by value added per employment rose at 0.7 per cent, while employment posted an increase of 2.6 per cent. Six subsectors that recorded positive growths were Textiles, wearing apparel and leather products (7.4%); Beverages and tobacco products (3.3%); Non-metallic mineral products, basic metal and fabricated metal products (2.5%); Vegetable and animal oils & fats and food processing (2.2%); Transport equipment, other manufacturing and repair (0.7%); and Petroleum, chemical, rubber and plastic products (0.6%). In terms of level, labour productivity as measured by value added per hour worked was RM55.0 (Q4 2022: RM58.5 per hour), while value added per employment was RM32,477 (Q4 2022: RM34,854 per person).
Construction
Year-on-year, value added per hour worked for the Construction sector increased to 6.5 per cent. Value added for this sector expanded by 7.4 per cent and hours worked increased by 0.9 per cent.
Meanwhile, labour productivity as measured by value added per employment continued to increase by 6.7 per cent, with a rise in employment at 0.7 per cent. Value added per hour worked for this sector was RM16.7, while value added per employment was RM9,995.
Services
During the quarter, labour productivity expressed as a ratio of value added per hour worked for Services sector increased 2.8 per cent, year-on-year, as value added expanded 7.3 per cent and hours worked increased 4.3 per cent.
Six sub-sectors that posted a positive growth were Transportation and storage (8.8%); Finance and insurance (6.7%); Food & beverages and accommodation (5.2%); Wholesale and retail trade (4.9%); Real Estate and business services (4.9%); and Other services (3.0%).
Meanwhile, labour productivity per employment for Services sector rose by 3.1 per cent, with an increase in employment of 4.1 per cent. Five sub-sectors that posted a positive growth were Transportation and storage (8.9%); Real estate and business services (7.1%); Wholesale and retail trade (6.3%); Food & beverages and accommodation (3.9%); dan Other services (3.4%).
In terms of level, labour productivity measured as value added per hour worked in the first quarter of 2023 was RM39.3, while value added per employment was RM22,641.
