Malaysia Jobless Rate Lowest Since 2014

2026-02-11 04:04 By Chusnul Chotimah 1 min. read

Malaysia’s unemployment rate declined to 2.9% in December 2025 from 3.1% a year earlier, reaching its lowest level since November 2014.

The number of unemployed persons dropped 3.9% yoy to a six-year low of 517.7 thousand, while employment rose 3.0% to a fresh record peak of 17.13 million, lifting the employment rate to 68.9% from 68.4%.

The number of employed persons in the services sector continued to grow steadily, particularly in wholesale & retail trade, followed by accommodation and food & beverage service activities, and information & communication activities.

Meanwhile, the labor force participation rate climbed to 70.9%, maintaining a record high, from 70.6% in the same month a year earlier.

The youth unemployment fell to 10.1% from 10.4%, staying at the lowest level since January 2020.

The country’s labour market in the upcoming months is projected to transition into 2026 with strengthened foundations driven by a combination of fiscal, tourism, and employment initiatives.



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Malaysia Jobless Rate Lowest in Over Decade
Malaysia’s unemployment rate fell to 2.9% in January 2026 from 3.1% in the same month last year, reaching its lowest level since November 2014. The number of unemployed persons dropped by 4.5% from a year ago to 509.6 thousand, and those outside the labor force declined by 0.7% to 7.11 million, mainly due to housework/family responsibilities and schooling/training. Additionally, the youth unemployment rate, aged between 15 to 24 years old, edged down to 10.2% from 10.3%. Meanwhile, employment rose by 0.5% to 16.77 million, lifting the employment rate to 68.8% from 68.5% in January 2025. The number of employed persons in the services sector continued to grow steadily, particularly in wholesale & retail trade, followed by accommodation and food & beverage service activities, and transportation and storage activities. The labor force participation rate also increased to a new record high of 70.9%, from 70.6% a year earlier.
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Malaysia Jobless Rate Lowest Since 2014
Malaysia’s unemployment rate declined to 2.9% in December 2025 from 3.1% a year earlier, reaching its lowest level since November 2014. The number of unemployed persons dropped 3.9% yoy to a six-year low of 517.7 thousand, while employment rose 3.0% to a fresh record peak of 17.13 million, lifting the employment rate to 68.9% from 68.4%. The number of employed persons in the services sector continued to grow steadily, particularly in wholesale & retail trade, followed by accommodation and food & beverage service activities, and information & communication activities. Meanwhile, the labor force participation rate climbed to 70.9%, maintaining a record high, from 70.6% in the same month a year earlier. The youth unemployment fell to 10.1% from 10.4%, staying at the lowest level since January 2020. The country’s labour market in the upcoming months is projected to transition into 2026 with strengthened foundations driven by a combination of fiscal, tourism, and employment initiatives.
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Malaysia’s unemployment rate declined to 2.9% in November 2025 from 3.2% a year earlier, reaching its lowest level since November 2014. The number of unemployed persons fell 4.3% year-on-year to a near six-year low of 518.4 thousand, while employment rose 3.1% to a record high of 17.09 million, lifting the employment rate to 68.8% from 68.3%. The number of employed persons in the services sector continued to show steady growth, as did employment in the agriculture, manufacturing, construction, and mining & quarrying sectors. Meanwhile, the labor force participation rate increased to 70.9%, maintaining a record peak, from 70.5% in the same month a year earlier. However, youth unemployment (ages 15–24) declined to 10.1% in November from 10.4% a year earlier, staying at the lowest level since January 2020 for the third straight month. In October 2025, the unemployment rate stood at 3.0%.
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