Fair wages aligned with education are top priority for Sabahans

KOTA KINABALU (Feb 25): The key findings of the Study on Job Seekers’ Aspirations in Sabah, conducted by the Department of Statistics Malaysia (DOSM) from January to December 2024, highlighted the importance of fair wages aligned with educational qualifications.

This study examines the aspirations, expectations and challenges faced by job seekers in Sabah. It addressed concerns regarding the state’s unemployment rate, particularly among youth and graduates, and aimed to better understand Sabah’s labour market conditions.

Chief Statistician of Malaysia, Datuk Seri Dr Mohd Uzir Mahidin, stated that the primary objective of this study is to analyse Sabah’s labour market by offering insights into wage structures, key employment sectors, and skill requirements in local industries.

“The study also addresses challenges in finding the preferred jobs, such as the imbalance between wages and the cost of living, as well as the mismatch between job seekers’ skills and the local job market demands.

“In addition to quantitative data, the study incorporates qualitative and administrative data to strengthen its findings through Focus Group Discussions (FGDs). The discussions involved university students, youth associations in Sabah, workers, trade unions, employers and government officials,” he said during the launch of Study Book on Job Seekers’ Aspirations in Sabah, on Tuesday.

His speech was read by Deputy Chief Statistician (Social and Technical Development) at Department of Statistics Malaysia, Nazaria Baharudin.

The respondents who participated in the study were Sabahans from various regions and employment statuses. Administrative data from DOSM and PERKESO were also utilized in this study.

Mohd Uzir further noted that 96.7 per cent of the respondent’s profiles in this study are from Sabah, with 71.1 per cent residing in the state and 25.9 per cent living in Peninsular Malaysia. The majority of respondents involved are from the East Coast of Sabah (64.8 per cent) and prefer to remain in the same area, while nearly half of the respondents from Sandakan (48.5 per cent) and Tawau (45.6 per cent) also choose to stay in their respective regions.

From an educational perspective, 72.2 per cent of respondents had completed higher education, while 27.8 per cent held only a secondary school certificate. The study also revealed that 87.6 per cent of respondents with an SPM qualification or equivalent opted to stay in Sabah, whereas only 54.4 per cent of those with a bachelor’s degree chose to remain in the state.

The Chief Statistician also stated that these findings align with the Sabah Socioeconomic Report 2023, which covers aspects of migration and education. According to the report, the percentage of inter-state migration for Sabah increased from 13.1 per cent in 2020 to 41.9 per cent in 2022. The state also recorded the highest movement from urban to urban in 2022 (95.1 per cent), particularly in fast-developing areas such as Kota Kinabalu, Sandakan and Tawau.

Meanwhile, the population movement from urban to rural in Sabah accounted for only 4.9 per cent in the same reference period. Additionally, the number of graduates in Sabah increased by 4.9 per cent, from 393.7 thousand in 2021 to 412.9 thousand in 2022.

This study highlights several key aspects, including wage and salary issues, migration trends, and job seekers’ aspirations in Sabah. The findings indicated that discussions on wages and salaries were among the most frequently raised topics by respondents, who also emphasized the need for salaries to commensurate with educational qualifications and skills to achieve a better quality of life.

Regardless of age, most of the respondents expressed willingness to relocate to other states in Malaysia if offered a salary between RM2,000 and RM4,999 per month.
Meanwhile, the majority considered migrating abroad for job opportunities, offering salaries exceeding RM5,000 per month. Furthermore, 66.2 percent of Sabahans working in Peninsular Malaysia were inclined to continue their careers outside Sabah.

Overall, while there are job opportunities in Sabah, a significant issue remains the mismatch between available jobs and job seekers’ academic qualifications or skills.

The Chief Statistician also pointed out that the respondents expressed aspirations for more job opportunities with salaries commensurate with their education levels and skills in Sabah.

Based on an analysis of job seekers’ profiles in Sabah and the factors influencing their job choices, three key interventions are proposed:
i. Labour Market Strategy: Aligning labour supply and demand using accurate labour market data, investing in skills training to enhance employability, and ensuring educational programmes are tailored to industry needs.
ii. Strengthening Economic Sector: Enhancing key sectors such as agriculture, fisheries, and tourism, as well as emerging fields like Information and Communication Technology (ICT), to improve competitiveness and productivity.
iii. Infrastructure Development: Advancing physical and digital infrastructure, particularly in rural areas, to expand access to job opportunities and training programmes, thereby stimulating economic development across Sabah.

To conclude the statement, the study also highlights the importance of understanding the aspirations and challenges faced by job seekers in Sabah to ensure that more effective intervention measures can be implemented.

Through the collaboration of various stakeholders, Sabah has the potential to develop a more sustainable and inclusive labour ecosystem, thereby helping to reduce the unemployment rate and improve the well-being of its people.

The Department of Statistics Malaysia (DOSM) has launched OpenDOSM NextGen, a platform that offers data catalogues and visualizations to help users analyse various data, accessible via the portal https://open.dosm.gov.my.
The Malaysian government has declared MyStats Day on October 20 each year, with the theme “Statistics are the Pulse of Life.”

-Agency