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This Informal Sector and Informal Employment Survey Report, Malaysia, 2025 presents employment statistics according to the selected demographic and socioeconomic characteristics such as sex, age group, educational attainment, status in employment, occupation, economic activities category and states. These statistics was derived from Informal Sector Survey, which is one of the modules in the Labour Force Survey (LFS), conducted from January to December 2025. Objective of this report to estimate the size of informal employment and employment in the informal sector.
INFORMAL EMPLOYMENT AND EMPLOYMENT IN THE INFORMAL SECTOR
Malaysia's employment in 2025 reached 16,580.9 thousand persons (2023: 15,813.4 thousand persons). During the same period, the number of informal employment (IE) recorded a decline to 3,277.1 thousand persons (2023: 3,450.5 thousand persons). Consequently, the informal employment rate to total employment recorded a drop from 21.8 per cent to 19.8 per cent.
Employment in the informal sector (EIS) showed a moderate upward trend to 1,897.6 thousand persons, whereas the rate to total employment recorded a decrease to 11.4 per cent in 2025 (2023: 1,834.5 thousand persons; 11.6%).
EMPLOYMENT AND EMPLOYMENT IN THE INFORMAL SECTOR BY SEX
Males remain the primary composition in IE, recording 2,025.1 thousand persons (61.8%), followed by females 1,252.0 thousand persons (38.2%). Based on the compound annual growth rate (CAGR), the number of males and females in IE recorded decreases of 1.9 per cent and 3.6 per cent respectively in 2025 compared to 2023.
Employment in the informal sector for males recorded 1,180.5 thousand persons with contribution of 62.2 per cent in 2025 (2023: 1,147.1 thousand persons; 62.5%). For the same period, EIS for females recorded 717.1 thousand persons, equivalent to 37.8 per cent (2023: 687.3 thousand persons; 37.5%)
The publication of the Informal Sector and Informal Employment Survey Report, Malaysia, 2025 can be downloaded through eStatistics portal.
Released by:
DEPARTMENT OF STATISTICS MALAYSIA
09 September 2026
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