An overview of underemployment in Malaysia ABSTRACT
Human capital development is one of the key factors that drives and sustains Malaysia’s economic growth. Investment in education is posited to give positive returns to a country’s productivity, gross domestic product (GDP) and economic growth. The increasing level of educational attainment including Malaysia has produced many tertiary-educated workers.
However, these workers risk being underemployed due to the inflexibility of the labour market and the lack of adequate jobs. This paper aims to discuss the concept and determinants of underemployment. The overview of underemployment situation in Malaysia will be presented to allow better understanding of the backdrop surrounding underemployment issue in Malaysia.