Malaysia recorded 8% year-on-year growth in online recruitment activity in May 2023 when compared to the same month a year ago, according to the foundit Insights Tracker (fit), formerly published as Monster Employment Index (MEI).

The tracker’s index climbed from 73 in May 2022 to 79 in May 2023. Additionally, a month-on-month analysis shows a 6% uptick, with an index of 73 recorded in April 2023. The rising index values reveal a thriving labour market that will benefit employers and job seekers alike, foundit stated.

Sekhar Garisa, CEO, foundit, said, "Our findings indicate a strong momentum and a promising future for Malaysia's labour market. However, in this competitive landscape, companies emphasise on individuals with specialised skills. Hence, job seekers must always be aware of the changing demands of the industry and equip themselves with the required skills. Upskilling and continuous learning will be the key to unlocking new opportunities and thriving in this dynamic landscape."

The hospitality and retail industries led the way among steadily growing sectors. The hospitality industry saw annual growth of 102%, owing to Malaysia's booming tourism. Similarly, the retail sector (57%) marked noteworthy progress in e-recruitment due to rising retail sales. Engineering, construction, and real estate industries also witnessed an increase in May 2023 with a 24% rise in hiring activity due to infrastructure developments, government policies, and rapid urbanisation plans in Malaysia.

The IT, Telecom/ISP, and BPO/ITES (business process outsourcing/IT enabled services), along with oil and gas industries recorded a deceleration in annual hiring activity with a decrease of 14% and 7% respectively. This trend can be attributed to the economic slowdown and political uncertainties that lead to reduced investments, and lower demand for services, the index stated.

In terms of functional job roles, hospitality & travel jobs reported high demand in May 2023, with an annual growth of 120% driven by international tourism and the holiday season. This economic recovery created an online demand for other job roles, such as sales & business development (28%) and marketing & communications (16%) as well.

Roles in customer service (-33%) registered the steepest monthly as well as annual decline and it was also the only sector to register a decline among all monitored functions. Several reasons can be attributed to this including the advancements in technology that have led to the implementation of automated customer service systems such as chatbots and self-service portals.

There have also been instances during challenging economic times, where businesses need to prioritise cost-cutting measures, resulting in a decrease in hiring across various job roles, including customer service, foundit added.

The foundit Insights Tracker is a comprehensive monthly analysis of online job posting activity conducted by foundit.