Impact Study of Artificial Intelligence (AI), Digital and Green Economy on Malaysian Workforce
This study was conducted to understand the impact of AI, Digital and Green Economy on the Malaysian workforce, and identify the skills, training programmes and pivoting strategies required to address the impact
The study was carried out in two phases, covering multiple industries across Malaysia.
Phase 1 focused on 10 sectors:
- Information & Communication Technology (ICT)
- Global Business Services (GBS)
- Aerospace
- Food Manufacturing and Services
- Wholesale and Retail Trade
- Electrical and Electronics
- Pharmaceutical Manufacturing
- Medical Devices
- Chemical
- Energy and Power
Phase 2 expanded the study to include 12 more sectors:
- Public Transport
- Hotel and Accommodation Services
- Tourism
- Oil and Gas
- Healthcare
- Communications and Multimedia
- Construction
- Automotive
- Agriculture Commodities
- Sea Transport
- Air Transport
- Retail and Commercial Services
From the study, 6 key findings had been identified.
1. All Sectors Have Started Digitalisation
- The study found that all 22 sectors have begun adopting digital tools and technology, although progress differs across industries.
- Some sectors such as Aerospace, Global Business Services, ICT, and Air Transport showed a higher level of AI adoption. These industries already use automation, smart systems, and digital processes to improve productivity.
- Other sectors such as Chemical, Energy & Power, Oil & Gas, Automotive, Agriculture, and Air Transport are also progressing through the adoption of Green Economy practices, driven by sustainability goals and regulations.
What This Means for Students
Students should expect most future workplaces to use digital systems, automation, and data-driven tools. Digital readiness is becoming important in every career field.
2. 2,266 Job Roles Were Reviewed Across 21 Sectors
The study analysed a total of 2,266 job roles to understand future workforce changes.
- 2,146 roles (95%) are existing roles that continue to be relevant today.
- 120 roles (5%) are emerging roles expected to grow significantly over the next 3 to 5 years.
What This Means for Students
Many traditional careers will still exist, but they may evolve with new responsibilities and technology. At the same time, new careers are being created.
3. Around 697,000 Employees May Be Highly Impacted in the Next 3–5 Years
- The study estimates that approximately 697,000 employees in the 21 sectors may be highly impacted by AI and changing technologies.
- This represents about 12% of the total workforce studied.
- Another 3.2 million employees may experience medium-level impact, meaning their jobs may change partially through new tools, systems, or updated tasks.
What This Means for Students
Future workers need to be adaptable. Learning new skills regularly will be important to remain competitive.
4. 120 Emerging Roles Will Become More Important
The study identified 120 emerging roles that are expected to grow in demand.
Breakdown of Emerging Roles:
- 87 roles (73%) are AI and Digital-related roles
Examples: AI Engineer, Data Scientist, Cybersecurity Analyst, Digital Product Manager
- 22 roles (18%) are Green Economy roles
Examples: Sustainability Specialist, Recycling Engineer, Renewable Energy Technician
- 11 roles (9%) are New Technology roles
Examples: Autonomous Vehicle Operator, Remote Equipment Operator
What This Means for Students
Students should explore careers in technology, sustainability, automation, and innovation.
5. Workers Must Be Ready to Pivot into New Roles
- The study found that highly impacted job roles may shift into new positions either within the same sector or across different industries.
- This means transferable skills are becoming more valuable.
- Examples of transferable skills:
- Communication
- Problem-solving
- Teamwork
- Digital literacy
- Project management
- Leadership
What This Means for Students
Choosing a career is no longer about one job for life. Students should build flexible skills that can be used in many careers.
6. Skills Demand Is Increasing Rapidly
The study identified:
- 16 basic skills needed across most sectors
- 1,601 unique technical skills across the 21 sectors
Skills in High Demand Include:
- Data engineering
- Data visualisation
- Data management
- Digital tools usage
- AI literacy
- Sustainability awareness
What This Means for Students
Students who build both soft skills and technical skills will have stronger career opportunities.
