Govt targets 500,000 jobs through AI initiatives

KUALA LUMPUR: The Malaysian government is targeting the creation of 500,000 job opportunities through artificial intelligence (AI) initiatives, aiming to upgrade workforce skills in response to changing labor market dynamics. Economy Minister Akmal Nasrullah Mohd Nasir informed the Dewan Rakyat that AI, digitalization, and automation should be seen as opportunities to restructure the economy, particularly by fostering high-growth, high-value industries and other strategic sectors.

The minister addressed concerns about the impact of AI technology on the workforce during a supplementary question, stating that 57% of the workforce were in semi-skilled jobs and 12.9% were in low-skilled occupations. A Stanford University study revealed that generative AI benefits experienced and highly skilled workers but poses challenges for those in low-skilled jobs.

The 13th Malaysia Plan (13MP) aims to increase the proportion of skilled jobs to 35% of the workforce by 2030, up from 30.1% in 2025. National policies and development plans, such as the New Industrial Master Plan 2030, the National Energy Transition Roadmap, and the Malaysia Digital Action Plan 2030, incorporate talent requirements to adapt to technological changes.

A study by Talent Corporation Malaysia Bhd found that 90% of existing jobs would remain relevant with skills adaptation, while 10% could face automation or job function changes due to AI developments, digitalization, and the green economy. To prevent large-scale job losses, talent development programs focusing on certification, upskilling, and reskilling will be strengthened, with intensified cooperation between the public sector, industry, and academia, including the MyMahir Future Skills Talent Council with 17 established entities.