PUTRAJAYA: The number of graduates will increase to 5.98 million people in 2024 while the unemployment rate will decrease to 3.2 percent in line with strong labour market growth, according to the Graduate Statistics 2024 report issued by the Department of Statistics Malaysia (DOSM).

Malaysia’s Chief Statistician Datuk Seri Dr Mohd Uzir Mahidin said the increase was driven by positive economic and job market conditions throughout the past year, with graduates now representing 22.3 percent of the working-age population.

“Of that total, 5.14 million people are active in the labour force, thus recording a high Graduate Labour Force Participation Rate (GLFPR) of 86 percent. Degree holders represent 54.9 percent or 3.28 million people while diploma holders represent 45.1 percent or 2.70 million people.

“Based on a year-on-year comparison, the number of degree graduates in the labour force increased by 5.4 percent while diploma graduates increased by 3.2 percent, driven by better job opportunities and lower unemployment,” he said in a statement here today.

Mohd Uzir said the number of employed graduates increased by 4.6 percent to 4.98 million people last year compared to 4.76 million people in 2023, with about two-thirds or 67.8 percent working in the skilled job category, which is 3.38 million people, involving 57.2 percent in the professional, technician and associated professional (24.4 percent) and manager (18.4 percent) sectors.

Graduates in the semi-skilled category contributed 31 percent or 1.54 million people while the low-skilled category only represented 1.2 percent.

Regarding graduate salaries and wages, Mohd Uzir said there was an increase with the median monthly salary and wages increasing by 2.5 percent to RM4,521 (2023: RM4,409) while the average salary increased by 8.1 percent to RM5,330 (2023: RM4,933).

“All states recorded positive growth in median and average monthly graduate salaries and wages in 2024 compared to the previous year with the three highest being the Federal Territory of Kuala Lumpur (RM5,888;+3.4 per cent), Putrajaya (RM5,723;+15.3 per cent) and Selangor (RM5,207;+8.7 per cent).

“The state remains the country’s main economic and administrative centre, offering highly skilled employment opportunities and contributing to strong salary growth among graduates in urban areas,” he said.

Mohd Uzir said the national KPTBS in 2024 would increase to 86 percent with six states recording a higher rate compared to the national average of 85.7 percent in 2023, namely Johor (89.6 percent), Selangor (88.3 percent), Kuala Lumpur (87.9 percent), Sabah (87.6 percent), Labuan (86.9 percent) and Putrajaya (86.3 percent).

Mohd Uzir said the KPTBS for women was at 83.4 percent.

Regarding the employment status of working graduates, Mohd Uzir said the employee category was the highest contributor at 86.4 percent, followed by employers (5.6 percent), self-employed (7.2 percent) and the remaining 0.8 percent were unpaid family workers.

In terms of the economic sector, Mohd Uzir said the majority of graduates work in the service sector, at 77.6 percent, followed by manufacturing (13.4 percent), construction (6.3 percent), agriculture (1.7 percent) and mining and quarrying (1 percent).

Regarding the graduate unemployment situation in 2024, Mohd Uzir said it had decreased to 3.2 percent compared to 3.4 percent in 2023, which was 165,900 graduates, with 91,500 of them degree graduates and the rest diploma graduates.

“The situation is more positive for actively unemployed graduates, with 61.1 percent of them finding employment within three months. However, 14 percent of graduates are still outside the labor force, among others because they are still studying or following training programs or have family responsibilities,” he said.

Mohd Uzir also concluded that the Malaysian labour market continues to show strong resilience throughout 2024 despite the current global economic uncertainties, with the government remaining committed to supporting student welfare and strengthening graduate marketability through various initiatives towards the development of highly skilled human capital.

“Going forward, efforts to align the education system with job market demands and expand the use of artificial intelligence (AI)-based learning tools will ensure that future graduates are prepared to contribute to the country’s sustainable and innovation-driven economic growth,” he said.

— BERNAMA