26/06/2026

FRIDAY | JUNE 26, 2026

3 Inflow of graduates outpacing rate of high-skill job creation

Amended Bill allows volunteers to assist in inmate rehab programmes KUALA LUMPUR: The Prisons (Amendment) Bill 2026, tabled for its second reading in the Dewan Rakyat, proposes the establishment of prison volunteers to assist in implementing inmate rehabilitation programmes. Home Deputy Minister Datuk Seri Dr Shamsul Anuar Nasarah, when tabling the Bill on Wednesday, said it comprises 12 clauses and four subclauses, including a new section relating to volunteers to assist prison officers in implementing rehabilitation programmes under the Prisons Act 1995, Bernama reported. He said the amendments are aimed at ensuring that legal provisions related to prison management remain relevant and responsive to developments in the country’s correctional services, as well as in line with international best practices. “The proposed new Section 66A aims to give the commissioner-general the power to appoint any number of volunteers as necessary to assist prison officers in carrying out rehabilitation programmes under the Prisons Act 1995 (Act 537),” he said. Shamsul Anuar said community involvement was one of the four key focus areas addressed by the Bill, in addition to addressing the issue of prison overcrowding, strengthening prison governance and security and enhancing inmate rehabilitation, skills training and employment programmes. In addition, Shamsul Anuar said the Bill also proposed the installation of electronic monitoring devices on certain inmates to monitor their movements and whereabouts, whether inside or outside prison boundaries. “This section also provides for offences and penalties for non-compliance with the terms and conditions, as well as acts of tampering with, damaging, destroying or removing electronic monitoring devices that have been installed,” he said. Shamsul Anuar said under the Bill, the general penalty is also proposed to be increased from a fine not exceeding RM500 to RM5,000 and imprisonment from a term not exceeding six months to a term not exceeding one year for offences or breaches of regulations under Act 537 that are not expressly provided for.

Ű BY FAIZ RUZMAN newsdesk@thesundaily.com

o Situation involving global market changes and economic conditions adds to challenges fuelling underemployment: Deputy minister

Datuk Dr Richard Rapu @ Aman Begri (GPS-Betong) asked whether the ministry would review student intake for programmes that consistently produced graduates who could not be absorbed into jobs matching their qualifications. Adam said the ministry was already realigning programmes in public universities and working with private higher education institutions to ensure courses remain relevant to labour market needs. “Following the launch of the Malaysia Higher Education Plan, we are now ensuring the realignment of programmes offered by public universities, while also working with private higher education institutions so they are in line with labour market needs. “Based on current economic needs, many new critical fields could be introduced, while older fields that we have identified as no longer suitable with current developments will be reviewed,” he said.

PETALING JAYA: The number of graduates entering the labour market is growing faster than the creation of high-skilled jobs, contributing to graduate underemployment, Higher Education Deputy Minister Adam Adli Abd Halim told the Dewan Rakyat yesterday. He said global market changes and economic conditions had also affected the ability of graduates to secure jobs matching their academic qualifications. “The increase in the number of graduates, which is faster than the creation of high-skilled jobs, has contributed to this issue. “At the same time, changes in the global market and economic conditions have also had an impact,” he said. Adam added that the issue could not be described as government

failure as it involved labour market and economic factors. He said graduate underemployment remained a recognised problem, but the trend had improved from 33.8% in 2021 to 32.2% in 2024. “So, the challenge is still large, but the current trend is declining, not worsening. Therefore, it cannot be said to be a failure. Instead, this is an issue that is more complex,” he said. Adam was responding to Datuk Seri Dr Shahidan Kassim (PN-Arau), who asked whether the 32.2% of graduates working below their academic qualification level showed failure of the Madani government.

He said 873,765 Malaysian graduates completed their studies over the past three years at public and private higher education institutions, including public universities, polytechnics and community colleges. Citing the Higher Education Ministry’s Graduate Tracer Study System, he said graduate employability improved from 90.9% in 2023 to 92.5% in 2024. Adam said the quality of graduate employment had also improved, with diploma-level and higher graduates employed in skilled jobs rising to 72.1% in 2025 from 68.3% in 2023. In a supplementary question,

AVIATION ATTRACTION ... Schoolboys admiring exhibits at the Malaysia Aerospace Summit 2026 at the Malaysia Agro Exposition Park in Serdang. – BERNAMAPIC

He said the Bill seeks to expand the definition of “prisoner” to include inmates released on licence under Section 43. Malaysian labour market holds steady amid global stress

Ű BY KIRTINEE RAMESH newsdesk@thesundaily.com

business sustainability. Separately, Akmal addressed concerns over long-term global labour shifts raised by Manndzri Nasib (BN-Tenggara) in relation to World Economic Forum projections. Akmal said concerns raised over global projections are already addressed in the 13th Malaysia Plan, which focuses on high-growth, high value industries. He added that Malaysia will intensify efforts in TVET, education and workforce development, especially in semiconductors, advanced manufacturing and tech sectors, alongside expanding data centres to support economic upgrading. Akmal also confirmed he has requested to present a ministerial statement in Parliament on the issue on Monday, with hopes for a full debate.

Acceleration for Capability and Employment (PACE) package. Of this, RM580 million is channelled through Socso for the Employment Insurance System, RM100 million via HRD Corp for training and MYFutureJobs placements, RM20 million for gig worker training and RM10 million via TalentCorp for SME and start-up development. Akmal said MYFutureJobs placements rose 55%, from 12,119 in April to 18,756, bringing total placements to 62,644 in 2026. He said supply chain monitoring continues to ensure stability in key sectors, including manufacturing, agriculture, food production and services. While acknowledging pressure on SMEs, he said support will continue to prioritise jobs and

“If downsizing were permanent, we would not see continued recruitment. At present, the disruptions appear temporary,” he said. He added that unemployment levels of 2.9% to 3% do not require extraordinary intervention measures. Instead, the government is using targeted, data-driven policies under the National Economic Action Council (MTEN) to support workers and businesses. Key support includes a RM5 billion SME Stabilisation Relief Facility and a RM5 billion financing guarantee scheme via SJPP ( Syarikat Jaminan Pembiayaan Perniagaan) providing RM10 billion in total support. More than 1,000 SMEs have benefitted, with over RM700 million approved and RM4 billion still available. The government has also rolled out a RM710 million Progressive

Mohd Sulaiman (PN-Bachok) in the Dewan Rakyat yesterday, Akmal said job losses remain contained, with 6,197 workers recorded as having lost their jobs as of June 22, about 0.04% of total employment. This figure is 20% lower than the 7,766 job losses recorded in May, indicating gradual stabilisation after earlier fluctuations. He said the highest job losses this year were recorded in January, when 10,658 workers were affected, mainly due to year-end restructuring and business realignment. “The trend shows that disruptions are easing,” he said. Akmal added that current indicators suggest most labour market disruptions are temporary rather than structural, with hiring activity continuing across key sectors. Syahir Che

PETALING JAYA: The labour market remained resilient in the first half of 2026, with the national labour force rising to 17.33 million and total employment reaching 16.82 million as of April, despite ongoing global economic uncertainty and concerns over job losses. Economy Minister Akmal Nasrullah Mohd Nasir said the labour force participation rate was steady at 70.9%, reflecting stable economic activity. The unemployment rate edged up slightly from 2.9% in March to 3.0% in April, involving 511,800 individuals. He added that this remains below the 4% level typically associated with full employment, signalling continued labour market stability. Responding to a question from