The Malaysian Employers Federation (MEF) said labour market policies should target not just unemployment but also underemployment, skills mismatches, and workers employed below their qualifications and capabilities. MEF president Datuk Dr Syed Hussain Syed Husman emphasized the need for stronger collaboration between government, employers, and workers to build a resilient labour market that benefits both businesses and employees seeking meaningful work [1, 2, 3, 4].

Dr Syed Hussain noted that recent reports of job losses have raised concerns among workers and their families, but Malaysia stands out in the region for having one of the most comprehensive support systems for displaced workers. He said, "Malaysia remains among the few countries in the region that have established an extensive and coordinated support framework to assist individuals who lose their employment." [1]

The country’s support framework involves agencies including the Ministry of Human Resources, Social Security Organisation (Socso/Perkeso), Employment Insurance System (EIS), Human Resource Development Corporation (HRD Corp), and Talent Corporation Malaysia (TalentCorp). Their work spans social protection, employment services, workforce development, and talent management [1, 2, 3, 4].

Dr Syed Hussain said the presence of these dedicated agencies "reflects the seriousness with which the government addresses labour market challenges." He added, "Employers stand ready to work closely with the government to create more employment opportunities and improve workforce competitiveness." [1, 2]

Both MEF and the Malaysian government recognize unemployment as an economic and social issue that requires coordinated intervention from government bodies, employers, training providers, and the workers themselves [1, 2, 3, 4].

MEF welcomed the government’s continued commitment to protecting displaced workers and supporting their re-entry into the workforce through various labour market institutions, social protection mechanisms, and reskilling and upskilling initiatives [1, 2].

On June 26, 2026, MEF president Datuk Dr Syed Hussain Syed Husman issued a statement underscoring these priorities and praising Malaysia’s labour support ecosystem, urging all stakeholders to enhance cooperation for a more resilient job market [1, 2, 3, 4].