Overview

• The labour force continued to expand in the third quarter of 2025, with a rise of 0.7 per cent or 116.6 thousand persons, to register 17.49 million persons (Q2 2025: 17.37 million persons). A higher labour force participation rate (LFPR) was recorded during the quarter at 70.9 per cent, an increase of 0.1 percentage points from 70.8 per cent in the preceding quarter.
• The number of employed persons sustained its positive trend in the third quarter of 2025, rising by 0.7 per cent (+117.6 thousand persons) to reach 16.97 million persons (Q2 2025: 16.85 million persons). On a year-on-year basis, total employment expanded by 3.1 per cent, with an increase of 511.0 thousand persons compared to the third quarter of 2024 (Q3 2024: 16.46 million persons).
• In the third quarter of 2025, the number of unemployed persons recorded a downward trend by 0.2 per cent (-1.0 thousand persons) to 519.9 thousand persons (Q2 2025: 520.9 thousand persons). However, the unemployment rate remained unchanged at 3.0 per cent, as in the previous quarter. Year-on-year comparison showed the number of unemployed persons decrease by 21.1 thousand persons equal to 3.9 per cent, corresponding to a lower unemployment rate of 3.0 per cent compared to 3.2 per cent in the same quarter of 2024. 
• At the national level, the LFPR increased to 70.9 per cent in the third quarter of 2025. Nine states recorded increases in the LFPR, indicating improved labour participation in the market. The highest LFPR was recorded by Selangor (78.2%), followed by W.P. Putrajaya (77.8%) and W.P. Kuala Lumpur (75.6%).
• In terms of unemployment rate by state, nine states recorded rates equal or below the national unemployment level of 3.0 per cent. The lowest unemployment rate during this quarter was observed in W.P. Putrajaya (1.4%), followed by Pahang (1.7%) and Selangor (1.8%).

Note: The Labour Force Statistics from first quarter of 2024 are estimated based on the Population and Housing Census of Malaysia 2020

The full publication of the Labour Force Survey Report, Third Quarter 2025 can be downloaded through eStatistic Portal.

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DEPARTMENT OF STATISTICS MALAYSIA

10th NOVEMBER 2025

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