SHAH ALAM – It is improbable that Malaysia will lack employment opportunities in 2026, yet workers are expected to encounter a job market that becomes more divided, adaptable, and unpredictable.
Experts noted that the job market is moving away from stable, long-term positions towards temporary contracts, project-driven roles, and short-term recruitment, as businesses aim to handle increasing expenses and international instability.
According to the Department of Statistics Malaysia, there were 17.06 million individuals who were employed by the end of October 2025.
Sebanyak 74.8 peratus daripada tenaga kerja terdiri daripada pekerja, menunjukkan pasaran buruh yang masih aktif tetapi semakin waspada terhadap komitmen jangka panjang.
Economist Dr Mohamad Idham Md Razak mentioned that the prospects for employment indicated a structural transformation instead of a lack of jobs.
By 2026, Malaysia’s employment sector is expected to be marked by reduced job shortages and increased division.
“Companies are cautious regarding fixed salary expenses due to global uncertainty, increasing operational costs, and technological changes,” he stated.
Consequently, he mentioned that the job market is experiencing a decrease in permanent positions, an increase in contract-based recruitment, and a greater emphasis on abilities rather than formal qualifications, especially within the private sector as well as job opportunities driven by small and medium-sized businesses.
He further mentioned that expansion was anticipated in high-tech manufacturing, electrical and electronic sectors, renewable energy, transportation, healthcare, tourism, and digital industries.
Concerning industries anticipated to face challenges and undergo transformation, he mentioned low-value manufacturing, conventional retail, administrative positions, and repetitive office tasks that are becoming more automated or combined to cut expenses.
In the meantime, Datuk Dr Madeline Berma, an honorary fellow of the Malaysian Future Institute and an economist, mentioned recently that Malaysians are moving towards a more flexible job market.
“Malaysians anticipate a more adaptable employment sector. It has the ability to adjust to evolving economic situations,” she stated.
She highlighted three primary sectors driving employment: artificial intelligence, data and cloud technology, semiconductor and high-value manufacturing, as well as the green economy and expertise in environmental, social, and governance areas.
Berma also cautioned about the strain and possible unemployment in various industries, according to a research carried out by Talent Corporation Malaysia.
These comprised wholesale and retail trade (245,000 positions), food processing services (203,000), global business services (89,000), electrical and electronics (37,000), and information and communications technology (30,000), with potential reorganization in every sector.
In general, although the job market in 2026 might not be short of opportunities, employees will have to adjust to a setting characterized by adaptability, task-oriented work, and quickly changing skill demands.
Stressing ongoing education and expert abilities will be essential for dealing with a more divided job market.
This was Berma’s last interview with Sinar Daily. She passed away at her home in Bandar Baru Bangi on December 30, 2025.
Recognized for her significant involvement in education and community growth, the 64-year-old from Sarawak was also a well-known and reliable voice who often provided thoughtful opinions to Sinar Daily.
