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The number of degree graduates in the labour force also rose by 5.4% year-on-year, while diploma holders increased by 3.2%, driven by better job opportunities and lower unemployment rates.
Malaysia's Department of Statistics (DOSM) released its Graduates Statistics 2024 report on 31 October 2025, revealing an increase in the number of graduates last year.
In particular, there were that 5.98mn graduates in 2024, up from 5.74mn in the preceding year. Of this total, 5.14mn were in the labour force, while 838,800 or 14% were from outside the labour force. The Graduate Labour Force Participation Rate (GLFPR) rose to 86%, reflecting a stronger engagement of graduates in the labour market.
According to Chief Statistician Dr. Mohd Uzir Mahidin, degree holders accounted for 54.9% of graduates (3.28mn persons), while diploma holders represented 45.1% (2.70mn persons). The number of degree graduates in the labour force also rose by 5.4% year-on-year, while diploma holders increased by 3.2%, driven by better job opportunities and lower unemployment rates.
At the same time, the graduate unemployment rate continued to decline to 3.2% from 3.4% in 2023, supported by greater employment opportunities across various economic sectors. This positive development was further reinforced by government initiatives and policies focusing on enhancing human capital development, employability, and the alignment of skills with industry needs.
In 2024, the number of employed graduates in Malaysia grew by 4.6%, reaching 4.98mn compared to 4.76mn in 2023, reflecting an improving labour market. Of these employed graduates:
- 67.8% (or 3.38mn persons) were in the skilled category:
- 57.2% worked as professionals,
- 24.4% as technicians and associate professionals, and
- 18.4% as managers
- 31% (or 1.54mn persons) were in the semi-skilled category
- 1.2% (or 57,500 persons) were in the low-skilled category
"Employment among skilled and semi-skilled graduates each recorded positive growth of 5.0% and 3.6% respectively, while the low-skilled category increased by 11%," the chief statistician added.
Elaborating further, the chief statistician stated that in terms of employment status among graduates, employees formed the largest share (86.4%, 4.30mn persons) in 2024, which is an increase of 3.5% year-on-year.
"The employer category, representing 5.6%, rose significantly by 10.4% to 277,600 persons. Similarly, the number of self-employed graduates, constituting 7.2% of employed graduates, increased by 16% to 360,500 persons in 2024. Meanwhile, unpaid family workers accounted for the remaining 0.8%, with 37,900 persons recorded.”
In terms of earnings, both mean and median monthly salaries of graduates recorded steady growth in 2024. The mean monthly salary rose to RM5,330, while the median salary increased to RM4,521. Degree holders earned a median salary of RM5,724, whereas diploma holders received RM3,390. These improvements highlight the continued returns on investment in higher education and the stability of the graduate labour market.
The three states and federal territories with the highest median graduate salaries were:
- Kuala Lumpur (RM5,888; +3.4%), followed by
- Putrajaya (RM5,723; +15.3%), and
- Selangor (RM5,207; +8.7%).
In terms of mean monthly graduate salaries, Putrajaya recorded the highest at RM6,471, followed by Kuala Lumpur (RM6,212) and Selangor (RM5,693), with respective growth of 6.4%, 7.5%, and 6.3%. These states remain the nation’s key economic and administrative hubs, offering high-skilled employment opportunities and contributing to robust salary growth among urban graduates.
Sectoral performance
By economic sector, the majority of employed graduates were in the services sector, comprising 77.6% or 3.86mn persons, followed by the manufacturing sector (13.4%; 667,300 persons) and the construction sector (6.3%; 313,100 persons). The agriculture and mining & quarrying sectors accounted for 1.7% (83,900 persons) and 1.0% (49,200 persons), respectively.
Malaysia in comparison to other parts of the world
Dr. Mohd Uzir Mahidin explained: "Skill-related underemployment remains a challenge, not only in Malaysia but also globally. Malaysia has taken proactive measures to address skill-related underemployment and remains committed to aligning workforce qualifications with labour market needs.
"In 2024, the number of graduates employed below their qualifications increased by 3.9% to 1.60mn persons, bringing the graduate skill-related underemployment rate down to 32.2%. This achievement places Malaysia ahead of countries such as South Korea (36.8%), Indonesia (42.2%), and the Philippines (56.7%), demonstrating efforts to reduce skill mismatch.
"Although Malaysia still trails advanced economies such as the United Kingdom (28.5%), the United States (27.3%), and Australia (27.5%), the downward trend indicated potential for further improvement in the coming years."
Age group
Individuals aged 24 years and below recorded the highest rate of skill-related underemployment at 66.0% in 2024, a decline of 1.0 percentage point compared to the previous year.
This high rate typically involves recent graduates accepting employment below their qualifications to gain experience and strengthen their position in the labour market.
In contrast, individuals aged 45 years and above recorded a lower rate of 18.6%, reflecting their experience and skills, which enable them to secure more suitable and stable employment.
On graduate unemployment in 2024, the Chief Statistician stated: "The graduate unemployment rate declined by 0.2 percentage points to 3.2% compared to 3.4% in the previous year. Consequently, the number of unemployed graduates decreased by 0.8% to 165,900 persons in 2024, from 167,300 in 2023."
By educational attainment, the number of unemployed degree holders decreased marginally by 0.1% to 91,500 persons, while unemployed diploma holders fell by 1.8% to 74,400 persons.
A more positive trend was observed among active job-seeking graduates, with 61.1% securing employment within three months. Nevertheless, 14.0% of graduates remained outside the labour force, primarily due to continued studies or training programmes (32.9%) and household or family responsibilities (32.5%).
Concluding the findings of the 2024 Graduate Statistics, the chief statistician said: "Despite prevailing global economic uncertainties, Malaysia’s labour market continued to demonstrate strong resilience throughout 2024. In line with Budget 2025, the Government remains committed to supporting student welfare and strengthening graduate employability through various initiatives focused on developing a highly skilled workforce.
"Moving forward, efforts to align the education system with labour market demands and to expand the use of artificial intelligence (AI)-based learning tools will ensure that future graduates are well-prepared to contribute to Malaysia’s sustainable and innovation-driven economic growth."
READ MORE: Malaysia faces graduate oversupply, skilled job shortage, and a growing ‘gaji cukup makan’ reality
Infographics / DOSM
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