Overview of Hiring Activity in Malaysia
Hiring activity in Malaysia showed a 1% month-on-month increase in October 2025, indicating a modest improvement in momentum as employers cautiously expand their workforce. However, overall hiring remains 13% lower year-on-year, signalling that the labour market has yet to fully stabilise after prolonged uncertainty.
The 3-month (+3%) and 6-month (+4%) trends point to steady but measured progress, reflecting selective additions in essential and growth-linked sectors such as logistics, engineering, and hospitality.
Hiring Trends by Industry (YoY change)
Five of eleven tracked industries posted annual growth, led by logistics, engineering, and hospitality — sectors supported by infrastructure activity, domestic consumption, and ongoing supply-chain modernisation.
In demand
- Engineering, Construction & Real Estate (+27%)
Large-scale infrastructure and redevelopment activity continue to boost hiring for civil engineers, project specialists, and site-management roles. - Hospitality & Travel (+29%)
Malaysia’s tourism rebound and improved event activity are powering strong hiring for guest services, operations, and travel-support roles. - Logistics, Courier/Freight/Transportation & Shipping (+28%)
Demand surged as e-commerce expansion, cross-border trade, and fleet optimisation fuel the need for supply-chain and last-mile talent. - Advertising, Market Research, PR & Media (+3%)
Campaign activity and brand investment continue to rebound, supporting demand for creative, digital, and content-driven roles. - Others (+27%)
Niche and diversified sectors show strong hiring, reflecting renewed business activity across SMEs and specialised services.
Facing challenges
- IT, Telecom/ISP and BPO/ITES (−29%)
Hiring remains subdued as global tech caution and outsourcing realignment continue to weigh on demand.
- Retail (−36%)
Weak consumer sentiment and footprint optimisation limit hiring, with only essential retail roles showing traction. - BFSI (−12%)
Cost-efficiency and automation priorities continue to tighten headcount across banking and financial services. - Oil & Gas (−10%)
Price fluctuations and conservative exploration budgets continue to restrain upstream and midstream hiring. - Production/Manufacturing (+0%)
Flat annual growth reflects stable output but limited net additions to the workforce.
Hiring Trends by Functional Area (YoY change)
Six of ten tracked occupational categories recorded annual growth, led by HR, engineering, and supply-chain functions.
In demand
- HR & Admin (+13%)
Compliance, workforce restructuring, and organisational transformation are driving continued demand for HR specialists. - Engineering/Production (+9%)
Construction, industrial projects, and automotive manufacturing support steady hiring for technical roles. - Purchase/Logistics/Supply Chain (+14%)
A key bright spot, boosted by ongoing supply-chain modernisation and warehouse automation efforts. - Others (+10%)
Growth in miscellaneous and specialist roles reflects diversified hiring across SMEs, services, and project-based industries.
Facing challenges
- Customer Service (−42%)
One of the steepest declines, driven by automation, AI-enabled support tools, and consolidation of contact-centre operations. - Hospitality Roles (−53%)
Despite strong sectoral recovery, front-line hiring continues to lag due to partial automation, leaner staffing, and role redesign. - IT (−22%)
Tech hiring remains weak as companies focus on optimisation over expansion.
- Finance & Accounts (−16%)
Cost rationalisation and adoption of automated reporting tools continue to limit new mandates. - Marketing & Communications (−2%)
Hiring remains restrained as firms maintain conservative brand-spending strategies. - Sales & Business Development (−10%)
Frontline hiring remains cautious amid uneven consumption and tighter revenue-efficiency goals.
Why the Mixed Signals?
- Selective resilience: Engineering, logistics, and HR functions continue to show structural strength, reflecting ongoing investments in essential operations and infrastructure.
- Tech and retail softness: Persistent global headwinds, spending caution, and automation continue to suppress hiring in tech, retail, and support functions.
- Efficiency-first mindset: Many industries — including BFSI and manufacturing — remain focused on productivity gains, limiting expansionary hiring despite improving short-term indicators.
About the foundit Insights Tracker
The foundit Insights Tracker (fit) Malaysia—formerly the Monster Employment Index—is a leading indicator of online hiring activity across the nation. By analysing millions of job postings every month, fit provides timely and actionable intelligence on recruitment trends across industries, functions, and skill segments.
