Substantial increase in labour productivity last year


— FAIHAN GHANI/The Star

PETALING JAYA: Labour productivity increased last year with the Statistics Department hailing the “substantial growth” as a sign that the country is moving in the right direction and deploying its workforce more efficiently.

Chief statistician Datuk Seri Mohd Uzir Mahidin said the labour productivity per hour worked in 2025 grew at 3.7%, as compared to 2024’s 2.1%.

This brought the value added per hour worked to RM44.50 per hour. In 2024, the value added per hour worked was RM42.90 per hour.

Likewise, labour productivity per employment accelerated 3.4% in 2025 compared with 2.4% in 2024, with value added per employment at RM102,672 per person.

The Statistics Department said in a statement that all sectors recorded stable positive momentum throughout the year.

“Labour productivity is well positioned towards a positive outlook in 2026, supported by a stable labour market and sustainable economic performance throughout the year.

“Continued investment in skills development, digital adoption and technological advancement will be crucial,” said Mohd Uzir.

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