NEARLY 700,000 jobs are under threat from the march of artificial intelligence and digitalisation if the workforce is not reshaped in the coming years, says the Human Resources Minister.
“A total of 42,807 people have lost their jobs so far this year and up to 697,000 jobs could be at risk if they do not re-skill in the coming years,” said Datuk Seri R. Ramanan (pic).
As of now, the main cause of job losses from January to June 12 was business closures and downsizing, which accounted for 17,485 cases or 40.85%.
Kuala Lumpur recorded the most job losses, at 12,844 (30%), followed by Selangor (12,360) and Johor (3,468 or 8.1%), said Ramanan as he cited data from the Social Security Organisation.
Ramanan was replying to Datuk Azman Nasrudin (Perikatan-Padang Serai), who asked what was driving the business closures and downsizing in Klang Valley, and to what extent automation and AI were behind the current wave of retrenchments.
He said the government viewed AI as an opportunity rather than a threat, and was working towards what it called a “just transition” for workers.
“The government is confident that AI is a catalyst for improving the quality of existing jobs and creating new high-skilled jobs,” he said.
Ramanan cited a Talent Corporation Malaysia (TalentCorp) study which found that 697,000 jobs are expected to be heavily affected by AI, digitalisation and the green economy over the next three to five years if workers do not reskill.
“We are placing emphasis on reskilling and upskilling, including for workers at risk of losing their jobs,” he said, adding that 120 new roles have been identified as growing in importance.
He said the ministry was running training programmes through the Skills Development Department and the Manpower Department.
A total of 26,529 people were certified between January and end-May under the accredited training programme system, across 1,661 centres.
Another 2,506 gained certification through the Academy in Industry programme, now expanded into microelectronics and mechatronics at three advanced technology campuses.
