MALAYSIA’S labour productivity expressed as value added per worker jumped 10.1% in the third quarter of 2022 (Q3) versus 5.5% in Q2, which is in line with the strong economic activities seeing GDP strengthening by 14.2%, the Statistics Department Malaysia said.

Total workers for Q3 rose 3.6% against 3.2% in Q2, recording value added per worker of RM24,200.

“Labour productivity, measured by value added per hour worked, rose almost three-fold to 3.8% versus 1.3% in Q2 2022.

“Total hours worked rose 10.0% against 7.5% in Q2 to record 9 billion hours (Q2 2022: 8.9 billion hours), in line with the expansion of the economic performance based on various indicators including the latest data for the month of September 2022,” the department said.

On an economic sector basis, all sectors saw an increase in productivity in Q3 with the construction sector posting the highest value added per worker at 14.9%.

The services sector also recorded double-digit productivity growth at 11.4%, with all its sub-sectors recording positive growth, with the food and beverage and accommodation sub-sector posting the highest growth at 43.7%.

Manufacturing sector’s labour productivity grew 8.2% in Q3 2022, with beverages and tobacco products sub-sector posting the highest growth of 49%.

This was followed by the transport equipment, other manufacturing and repair sub-sector at 30.5%; wood products, furniture, paper products and printing at 13.2%, and electrical, electronic and optical products at 11.5%.

Still at Q3 2022, labour productivity by value added per worker for mining and quarrying, and agriculture sectors, recovered positively with growth of 8.8% and 1.8%, respectively.

Measuring productivity on a value-added per-hour basis, services grew the highest at 6.0% followed by mining and quarrying at 4.2%, and manufacturing at 1.4%.

“The revival of economic and social activities, supported by improved job market conditions and incomes, has translated into stronger Malaysian economic growth.

“In line with these positive developments, the labour market is also expected to continue to be resilient in the following months,” the department said. – Bernama, November 17, 2022