A concerning trend is emerging as approximately 300,000 Sijil Pelajaran Malaysia (SPM) graduates yearly choose not to pursue higher education, raising potential challenges for the country’s human resources development.
Mustapha Sakmud, the Deputy Human Resources Minister, expressed grave concerns about the implications this may have on the nation’s progress towards achieving a 35% highly skilled workforce in the economic sector by 2030.
Recent reports indicate that many SPM certificate-holders favour participation in the gig economy, such as e-hailing services, or seeking employment in the manufacturing sector.

“This trend is very worrying and it is expected to have an impact on the country’s human resources in the future. Right now, we only managed to reach a target of around 28% of the highly skilled workforce in the country,” he said.
To address this pressing issue, the government urges SPM graduates to consider combining work with study, especially by enrolling in short-term courses that provide skills certificates in Technical and Vocational Education and Training (TVET). These certificates can offer brighter career prospects in the future.
In response, the Human Resources Ministry and the Department of Manpower are actively creating awareness and interest in continuing technical studies to promote TVET among students.
On a more positive note, there has been significant progress in resolving workplace disputes under section 20 of the Industrial Relations Act 1967. Per the Deputy Human Resources Minister’s statement, 2,182 cases out of the total 3,260 involving termination of services have been reinstated, representing a commendable 67% resolution rate.
“Of these cases, 57% were successfully resolved through peaceful negotiations, resulting in monetary compensation or ex-gratia payments amounting to RM24.9 million this year. Meanwhile, over the three-year period from 2021 to 2023, the department has provided RM90.4 million in compensation to 3,689 employees, benefiting 1,505 workers in the southern zone alone.”
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