Malaysia Unemployment Rate

An unemployed person is one who is able and willing to work yet is unable to find a job. Unemployment rate is the number of people officially unemployed divided by the labor force. Official unemployment measures those over the age of 16 who are able for employment, but are unable to obtain a job. The labor force is the number of people over the age of 16 who are either employed or unemployed. In year 2005, unemployment rate in Malaysia (3.0%) higher than unemployment rate in Cambodia (2.5%). Malaysia is a heaven for job seekers who are not so particular on what job is available. As long as there is a job, they will just take it. The fact is true for foreigners especially from Indonesia, Philippines, Bangladesh, China and many more. With their presence, the field of job market in Malaysia is becoming more competitive. This is because employers prefer to hire these foreigner rather than Malaysian due to the relatively cheaper labor cost and easier to manage. That is why graduate Malaysian who is having straight A’s is no longer to secure a job or to give one a competitive edge in career advancement. Unemployment rate in Malaysia increases to 3.6 % while Cambodia remains the same which is 2.5% in year 2006. Another contributing factor of higher unemployment rate in Malaysia is due to job matching. Even though there is over 300 thousand of graduate Malaysian from university or college entering the job market in 2006, the competency of these graduates is still a concern where their qualification and experiences cannot directly match the needs of the employers. Graduate might choosing the wrong course or with the poor result. Nowadays, the employer will hire the worker who had a lot of experienced one. In Malaysia, the private sector today is not interested in recruiting local graduates because they lack of essential skills, such as proficiency in English, a lack of ICT proficiency and interpersonal skill. This leads to appears to be gaps between what employers