Are Malaysian students choosing the right courses at universities?

Choosing the right course at a university level is one of the most important decisions a young person will ever make having a direct impact on their job prospects and future security.

As 2020 came to an ‘unresolved’ end on various fronts around the world, we look to see whether Malaysian students understand their prospects and whether they understand the significance of choosing the right course. One way to look at the consequences of making the right choices is by evaluating the probability of getting employed within six month after graduation.

The labour market in Malaysia has a lot in common with other countries in terms of income inequality, gender related issues, poverty and access to quality education. However, it has its own characteristics and distinct figures, particularly when it comes to fresh graduates. According to official reports published in December of 2016, the marketability of technical vocational education and training (TVET) and community college graduates is at 97.2%; polytechnic graduates’ marketability is at 88.6%; the employability of graduates from Institutions of Higher Learning (IPT) is at 77.1%, a 1.1% increase.

The Star also reported that unemployment rate in the country is at 3.4% and seems to be stable. Additionally, based on the reports from the Graduate Tracer Study, 22.8% of fresh graduates are yet to find jobs. The study reported the participation of 224,575 fresh graduates.

Where do these graduates get employed?

JobStreet.com reported that the top 10 hiring industries, they are as follows:

1. Manufacturing and production
2. Banking and financial services
3. Construction and urban development
4. Retail and merchandise
5. Information and computer technology
6. Electrical and electronics
7. Property and real estate
8. Telecommunications
9. Medicine and health care
10. Education

The job posting related to these industries can be summarised as follows:

1. Accounting and finance (19% of total job postings)
2. Sales and marketing (18%)
3. Engineering (12%)
4. Admin and HR (11%)
5. Computer and IT related postings (9%)
6. Services (8%)
7. Manufacturing (7%)
8. Arts, media and communications (3%)
9. Building and construction (2%)
10. Hospitality and F&B (2%)

However, the demand or job openings has fallen due to the impact of economic changes in Malaysia as the country is going through difficult times with weaker currency, inflation, the fall of global oil prices, and of course political factors.

Sales and marketing, computer and IT, and the service industries seem to be the least affected by these changes as job posting dropped between 0-1%. Manufacturing and arts & media postings have dropped by 4%. However, accounting and finance, engineering, admin & HR, and construction job posting has fallen significantly (10-12%). 

Are Malaysians choosing the right courses?

With the basic understanding of the employment market in Malaysia and the presentation of important figures, logic dictates that there are certain courses favoured by the top employing industries in Malaysia. Students and parents may not have the necessary analytical information to make an informative decision when selecting a course of study for higher education that may contribute to a stable and steady job or a career.

Afterschool.my, Malaysia’s top advisors on matters of higher education just released an interesting list of popular courses on their website. According to the findings of Afterschool.my, courses in the fields of engineering, accounting & finance, medicine & health care, business & marketing, computer technology and aviation made the top 10 list. The following is a summary and ranks of the specific courses:

1. Chemical engineering
2. Accounting and finance
3. Medicine
4. Psychology
5. Biomedical sciences
6. Business and marketing
7. Actuarial science
8. Computer science
9. Pharmacy
10. Aviation

According to JobStreet.com, fresh graduates in Malaysia seem to be on the right track when it comes to selecting the courses that correspond to the industry. However, reality hits where it hurts. The demand for fresh graduates is changing for various reasons. The following are the industries with decreased demand for fresh graduates:

• Accounting and finance: 6% drop
• Engineering: 13% drop
• Admin and HR: 9% drop
• Computer and IT: 6% drop
• The service industry: 6% drop
• Manufacturing: 11% drop
• Arts, communication and media: 10% drop

However, the demand for fresh graduates in the sales and marketing industry is up by 14%, followed by the building and construction industry where the demand is up by 3%.

JobStreet.com also reported that these courses have the highest attractiveness in the market: quantity survey, nursing, mechanical engineering, civil engineering, architecture, pharmacy, electrical and electronics engineering, finance, accounting, banking and other engineering courses that fall within technical vocational education and training (TVET).

Why are employers less interested in fresh graduates?

Employers responded to a survey conducted by JobStreet.com explaining the lack of interest in fresh graduates. The results are intriguing: 68% of employers cited unrealistic salary demand which may range anywhere between RM3,500 to RM6,000; 64% of employers said poor command of the English language is second most contributing factor; being picky or choosy about the employing company, and poor communication skills come at 60%; finally, 59% of employers reported poor attitude, character, and personality traits as an important contributing factor.

According to the online portal, 39% of employers are attracted to fresh graduates who held leadership positions, 25% of employers are interested in fresh graduates with high academic scores, 20% of employers want graduates with involvement in extracurricular activities like sports and clubs, 16% of employers want graduates who have done some volunteer work.

Should our students study to get a job?

It is important that young people are able to get a sense of security as they move on with their lives after their graduation. Therefore, choosing the right course of study in the tertiary level is critical and is one of the most important decisions a young person will ever make.

A question that comes to mind: Should I choose a course I like and passionate about or get an education that has a higher possibility for a secure career path? Another question would be: Should I follow my dreams?

This issue is – to a certain extent – complicated because it involves several influencers such as parents, family members, friends, and personal circumstances. For a student to do something he or she is passionate about is good and important. Student’s interest affects the overall academic performance and will produce good results in most cases.

However, reality is an important influencer and must be considered. If a student chose a major like philosophy, theatre and/or acting, the risks associated with unemployment are high. In Malaysia, the employment is becoming an increasingly skilled based market. If a student is doing a philosophy course, they need to up-the-ante and improve their skills, thus improving their chances of a better future security.

Is there a balance?

Of course, not all higher education fields are similar to philosophy. Studying engineering and medicine is great. This means, students can do what they are passionate about and pave the path to a future that offers a job security and earn a decent living.

However, it is not enough to just study. The market now looks for how much do fresh graduates know beyond the setting of a classroom. Internet skills like social media management, google analytics, basic programming skills, cloud and mobile computing knowledge, and other technical and practical skills are important.

Additionally, learning beyond the classroom setting can have a decisive effect. The internet is full of free educational resources in almost all fields of education. For instance, engineering students must learn to improve their skills by learning simulated environment that corresponds to their field. Software solutions like AutoCAD, 3D MAX, and other simulators are extremely useful for civil engineers, architects and mechanical engineers, and other professions. Computer science, IT and networking students can use multiple solutions that would make their career prospects greatly positive. Business students have the ability to expand their knowledge in areas related to stock market like Investopedia’s trading floor simulator.

YouTube.com has enormous amount of resources and study aids. There can be a balance between studying something students might like and improve their skills and make a measurable impression on employers.