Rising job vacancies signal stronger hiring activity, but competition eases

Nov 13, 2026 | HR News

Malaysia’s employment landscape continued to show positive momentum in the third quarter of 2026, with a significant increase in job advertisements pointing to stronger recruitment activity across various industries.

Jobstreet by SEEK Malaysia Managing Director, Nicholas Lam said the latest Labour Force Survey by the Department of Statistics Malaysia (DOSM) showed employment grew 0.3 per cent in the third quarter compared with the preceding quarter, while the unemployment rate remained stable at 3.0 per cent.

He said Jobstreet’s platform data also recorded a 42 per cent year-on-year increase in job advertisements during the quarter, alongside a 17 per cent rise in applications.

The faster growth in vacancies compared with applications resulted in a 17.6 per cent decline in average applications per advertisement, suggesting that employers were expanding recruitment efforts at a quicker pace.

The Retail and Consumer Products sector recorded the sharpest increase in job advertisements, surging 202.3 per cent, while applications rose 43.5 per cent. Engineering also registered substantial growth, with vacancies increasing 58 per cent against a 12.6 per cent rise in applications.

Regionally, Penang and Johor emerged among the states recording notable recruitment growth. Job advertisements in Penang climbed 69.5 per cent, while applications increased 8.5 per cent. Johor registered respective increases of 52.2 per cent and 19.8 per cent.

DOSM reported unemployment rates of 2.7 per cent in Penang and 2.4 per cent in Johor, both below the national average.

Lam said opportunities were also expanding across different career levels, with entry-level vacancies recording the highest growth at 56.2 per cent, followed by mid-level positions at 42.6 per cent and senior-level roles at 29.8 per cent.

However, he cautioned that rising vacancies alone did not necessarily translate into better utilisation of workers’ qualifications and expertise.

DOSM data showed skill-related underemployment among tertiary-educated workers stood at 35 per cent in the third quarter, a marginal improvement from 35.2 per cent in the previous quarter.

Lam said employers should place greater emphasis on identifying transferable skills, recognising relevant work experience and providing training opportunities to widen their talent pool.

He added that jobseekers should use emerging recruitment trends to identify promising industries, strengthen their capabilities and pursue positions that offer better career development prospects.

-HR HUB