Sarawak’s unemployment at 4.3 pct at end of 2009

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SIBU: The state recorded an unemployment rate of 4.3 per cent for the last quarter of 2009, which by international standard could be considered as almost no unemployment.

Disclosing this, deputy director of the state Labour Department August Buma said 43,900 people were unemployed representing about 4 per cent of the total labour force in Sarawak.

“In Sarawak, we have a total labour force of 1,014,800 people while those who are actually working numbered 970,900.

“So when you talk about 4 per cent unemployment and going by international standard, it means there is almost no unemployment at all in the state,” August told reporters on Saturday.

He clarified that the unemployment was not due to insufficient vacancies but some chose to be unemployed by choice.

Asked what he meant, the deputy director replied: “There are lots of job vacancies in the state and the economy is good. Sometimes, people were unemployed by choice, for instance, school leavers may not want to look for jobs preferring to stay at home.

“Their parents can support them and this is where the unemployment comes from. It has more to do with the matter of choice.”

The figure, he explained, reflects a situation at a certain point in time. Figures fluctuate, as situations are dynamic and fluid and circumstances change.

Asked if inflation would contribute to unemployment, he replied in the negative.

The direct impact on unemployment comes from lower market demand such as that during the global economic crunch, he said.

He recalled in 2008, there was heavy retrenchment particularly in the electronic sector.

And towards the end of 2010, unemployment figures stabilised in Sarawak when the economy recovered.

Added August: “From the third quarter 2010 until now, there are no more retrenchments due to positive economic factors.”