Labour market to face challenges in 2H22

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The demand for labour in Malaysia is expected to increase in the coming months.

United Overseas Bank economists Julia Goh and Loke Siew Ting said several key industries continue to face labour shortages as reopening activities spur demand.

United Overseas Bank economists Julia Goh and Loke Siew Ting said several key industries continue to face labour shortages as reopening activities spur demand. “Despite multiple external headwinds, we remain cautiously optimistic on the economic growth outlook in the second half of 2022 , supported by reopening drivers in Malaysia and across the region, as well as robust trade and cross-border investments.

“Subsequently, the need for labour is also seen as increasing in line with the development of economic activities,” it said in a note. “Non-citizen workers constituted about 13.5% or 2.13 million of Malaysia’s working population in the second quarter this year, which has reduced from an average 14.9% in the pre-pandemic year of 2019,” stated the research house.

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