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Malaysia’s unemployment rate drops to 3.0% in May 2025

PUTRAJAYA: The number of unemployed individuals in Malaysia decreased by 0.7% in May 2025, dropping to 522,400 persons compared to 525,900 in April, according to the Department of Statistics Malaysia (DOSM).

The unemployment rate held steady at 3.0%, unchanged from the previous month.

Chief Statistician Datuk Seri Dr Mohd Uzir Mahidin highlighted that total employment rose by 0.3% to 16.86 million persons in May, up from 16.82 million in April.

“The decline in unemployment, coupled with rising employment, indicates Malaysia’s strong economic performance,“ he said in a statement.

The services sector led employment growth, particularly in accommodation, food and beverage services, wholesale and retail trade, and transportation and storage.

Other sectors, including manufacturing, construction, agriculture, and mining and quarrying, also saw increased employment.

Youth unemployment (ages 15-24) fell to 10.2%, with 297,700 unemployed youths, while the rate for those aged 15-30 stood at 6.2%, with 399,000 unemployed.

Mohd Uzir expressed optimism about Malaysia’s labour market, citing government policies, macroeconomic stability, and human capital investments as key drivers.

“Despite global uncertainties, strong domestic fundamentals ensure labour market resilience,“ he added. – Bernama

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