Malaysia’s unemployment rate plunged to 2.9% in November 2025, hitting its lowest level in 11 years, as more Malaysians found work across key sectors and the labour force expanded to a record 17.61 million, according to the Department of Statistics Malaysia (DOSM).
Chief Statistician Datuk Seri Dr Mohd Uzir Mahidin said the favourable economic conditions supported steady labour market growth. The total number of employed persons rose to 17.09 million, while employees made up 74.8% of the workforce. Own-account workers also saw gains, reaching 3.26 million.
Job growth was broad-based, with the Services sector, particularly health, retail, and food & beverage, leading the way. Agriculture, Manufacturing, Construction, and Mining & Quarrying sectors also registered employment increases.
Underemployment, defined as those working fewer than 30 hours per week but willing to take on more, edged up slightly to 129,900 persons, while youth unemployment remained steady at 10.1% for aged 15-24 and 6.1% for aged 15-30.
Looking ahead, DOSM expects Malaysia’s labour market to remain resilient, with new opportunities in strategic industries, regional employment expansion and initiatives in reskilling and upskilling.
