MALAYSIA’S labour market is facing a two-tiered disruption. The country is ageing rapidly, with more than 15% of the population set to be aged 65 and above by 2050. At the same time, birth rates are falling. In 2024, the fertility rate stood at 1.6 children per woman, well below the 2.1 replacement level. Together, these trends pose long-term challenges to economic sustainability.
The government has set a target to raise the female labour force participation (FLFP) rate to 60% by 2033 as part of its long-term strategy to strengthen women’s role in national development. Currently, the FLFP rate stands at 56.6%, compared with 83.3% for men.
The challenge, however, lies in retention. Many Malaysian women continue to exit the workforce mid-career as they shoulder a disproportionate share of unpaid care work. Caregiving demands, limited childcare options, household responsibilities and rigid work structures often make continued employment difficult.
Thirty-nine-year-old former preschool administrator and teacher Hayati Ibrahim understands this firsthand. She left the formal workforce five years ago.
“I really enjoyed working,” she tells Sunday Star. “But women face certain phases when they feel pressured to step back.”
Her first turning point came when her eldest son was a toddler.
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