On a year-on-year basis, the value of work done in Malaysia’s construction sector contracted by 6.3 per cent in Q1 2020 (Q4 2019: 1.3 per cent), accumulating up to RM35 billion. In contrast, Q4 2019 had a growth of 1.3 per cent (RM 37 billion). In addition, all construction activities have slowed down during this period.
“In Q1 2020, there were declines in the non-residential buildings sub-sector by 11.0 per cent; special trades activities sub-sector by 8.6 per cent; residential buildings sub-sector by 7.6 per cent and civil engineering sub-sector by 2.3 per cent,” said, Mohd Uzir Hahidin, Chief Statistician, Department of Statistics Malaysia (DOSM).
DOSM also reported that the civil engineering sub-sector remains a major contributor to the value of construction work done, with a total of 44.9 per cent share. This is followed by non-residential buildings (25.9 per cent), residential buildings (24.1 per cent), and special trades activities (5.0 per cent).
The private sector propelled more construction activities with 54.8 per cent share of value of construction work done (RM19.2 billion), as compared to the public sector with 45.2 per cent share of the value (RM15.8 billion).
Except for the services sector, all others have recorded a drop in labour productivity, which was a decline of 0.8 per cent in Q1 2020. This is led by the negative growth from the agriculture and construction sectors. In the construction sector, value added per employment decreased by 5.3 per cent (Q4 2019: 3.2 per cent), while value added per hour worked posted negative growth of 1.6 per cent (Q4 2019: 4.3 per cent).
To read the full report on the review of the labour market, click on the link below:
– Construction+ Online