PUTRAJAYA: Putrajaya recorded the lowest unemployment rate in the country at 1.3 per cent in the third quarter of 2026, according to the Department of Statistics Malaysia (DOSM).
This was followed by Melaka and Selangor at 2.0 per cent each, and Pahang at 2.1 per cent.
DOSM’s Labour Force Statistics for September and the Third Quarter (Q3) of 2026, released today, showed that the national unemployment rate remained steady at 3.0 per cent during the quarter, unchanged from the previous quarter.
The number of unemployed people, however, rose 0.8 per cent to 513,700 from 509,700.
The department said the labour market continued to show positive developments, with the labour force increasing 0.3 per cent to 17.33 million from 17.28 million in the second quarter.
“The overall labour force participation rate rose to 71.0 per cent, while the male participation rate increased to 83.4 per cent from 83.3 per cent previously. The female participation rate remained unchanged at 57.0 per cent.
“The number of employed persons rose 0.3 per cent to 16.82 million from 16.77 million in the second quarter, with employees accounting for 76.1 per cent of total employed persons,” the statement said.
The employee category increased 0.2 per cent to 12.81 million, while the number of own-account workers rose 0.5 per cent to 2.96 million from 2.94 million in the previous quarter.
Of the total unemployed in the third quarter, 79.7 per cent, or 409,300 people, were actively unemployed, meaning they were available for work and actively seeking jobs. The remaining 20.3 per cent were classified as inactively unemployed.
By duration of unemployment, 67.3 per cent of the actively unemployed had been jobless for less than 3 months, while 3.1 per cent were long-term unemployed, having been out of work for more than a year.
For September 2026, DOSM reported that the national unemployment rate remained at 2.9 per cent, unchanged from the previous month, while the number of unemployed people edged up to 513,200 from 511,600 in August.
“Over the same period, the number of employed persons rose 0.1 per cent to 16.89 million from 16.87 million the previous month, as the labour market continued to show stable growth on the back of positive economic prospects,” DOSM said.
The department said efforts to strengthen the labour market must continue in tandem with technological developments and economic transformation.
These include expanding training in artificial intelligence (AI) and automation, helping to redeploy workers affected by technological changes, and strengthening early monitoring of at-risk sectors to ensure the local workforce remains skilled, productive and competitive.