In Malaysia, many young people are investing in higher education, but finding the right job afterward isn’t always easy.
A recent report by the World Bank shows that many graduates are working in roles that don’t match their qualifications, leaving their skills underused.
Here’s a breakdown of the findings:
Job mismatch rising
In 2022, 26.9% of graduates worked in jobs below their qualifications. This is a big jump from 8.6% back in 2010. Even though degree holders made up 48.6% of the highly educated workforce, many struggled to find suitable positions.
Diploma holders affected too
The issue isn’t limited to degree holders. Diploma and STPM graduates are also having a hard time securing high-skilled jobs.
The World Bank points to the low number of such positions available—fewer than 50,000 per year from 2018 to 2023, while up to 350,000 graduates enter the market annually.
Regional differences
The situation is worst in Kelantan, where over 50% of skilled workers are in jobs that don’t match their qualifications—much higher than the national average of 36.9%. Terengganu, Perlis, Pahang, and Johor follow closely, reported NST.
On the other hand, Kuala Lumpur, Penang, and Selangor show lower job mismatch rates, offering more suitable opportunities for graduates.
Solutions suggested
To fix this, the World Bank suggests updating educational programs to match industry needs, attracting quality investments, creating more high-skilled jobs, and providing skills training for workers to keep up with changes in the job market.
Malaysia’s workforce compared:
Although Malaysia has a higher rate of high-skilled jobs (29.6%) than Thailand and Indonesia, it still lags behind Singapore, where 60% of jobs are high-skilled.
