Human capital development is a key factor in stimulating and creating a sustainable economic growth. High skilled workforce readiness is crucial to support the economic transition to a knowledge, technology and innovation intensive activities. In achieving the country’s aspiration, key policies are developed consisting of four (4) main focus areas as follow:-

1. Improving labour market efficiency to accelerate economic growth

1.1 Improving labour productivity and wages through the shift to high skilled jobs

  • Existing industries will be encouraged to move up the value chain by investing in high value added activities that require skilled workers
  • Implementing Productivity-Linked Wage System (PLWS)
  • Reducing wage gaps to improve equity (increasing the compensation of employees to GDP)

1.2 Enhancing labour market operations to maximise efficiency and effectiveness

  • Enhancing labour market information to enable better decision-making process
  • Addressing labour market issues such as job mismatch, unemployment and raising female participation to increase inclusiveness
  • Enhancing legislation to meet labour market requirements to stay relevant and meet labour market demand

1.3. Improving management of foreign workers

  • One Stop Centre (OSC)
  • ‘Strict Liability’ – Employers have full responsibilities on recruitment process and foreign workers well-being

2. Transforming TVET to meet industry demand

2.1 Strengthening the governance of TVET for better management

2.2 Enhancing quality and delivery of TVET programmes to improve graduate employability

  • Enabling industry-led programmes to reduce skills mismatch
  • Strengthening TVET curriculum
  • Mainstreaming the National Dual Training System (NDTS)
  • Developing high quality instructors

2.3 Rebranding TVET to increase its attractiveness

  • Promoting TVET as a pathway of choice
  • Recognising technologists as professionals
  • Clearer pathway for TVET programmes

3. Strengthening lifelong learning for skills enhancement

3.1 Upskilling employees

  • Expanding Human Resources Development Fund (HRDF) Act coverage
  • Improving training for Small and Medium Enterprise (SME) employees
  • Enhancing industry-based programmes to upskill employees – Malaysian Meister Programme (MMP)
  • Promoting alternative accreditation for lifelong learning –
    • Recognition of Prior Learning (RPL) programme
    • Accreditation of Prior Experiential Learning (APEL)
  • Supporting pre-employment training through Future Workers Training (FWT) scheme

3.2 Developing entrepreneurial excellence and enriching communities through lifelong learning for high income economic sector

  • Improving entrepreneurial training programmes effectiveness
  • Enriching communities through training

4. Improving the quality of education for better student outcomes and institutional excellence

4.1 Enhancing access and quality to improve student outcomes

  • Malaysia Education Blueprint 2013 – 2025 (Preschool to Post-Secondary Education)

4.2 Enhancing governance and stakeholder partnerships for better school support

4.3 Raising the quality of graduates and programmes, and strengthening research for innovation

  • Malaysia Education Blueprint (Higher Education) 2015 – 2025

4.4 Strengthening institutions of higher education governance and financial sustainability towards institutional excellence