Malaysian businesses were hyper-focused on the customer experience in 2024, adapting their strategies and offerings to stay on top of evolving preferences. As more consumers adopted digital services in sectors like e-commerce, digital banking and telehealth, demand grew for talent that could help businesses understand and deliver what consumers want.
“Consumers now have elevated expectations and they seek out personalised experiences that reflect their preferences. This has prompted a surge in demand for data analysts, data scientists and AI specialists who can analyse consumer data to parse out and predict consumer needs,” observes Florie Mae Salazar, Senior Manager at Robert Walters Malaysia.
Cybersecurity also played a prominent role in the hiring landscape as businesses focused on safeguarding their digital systems amidst increasing digitalisation. Efforts in this area will continue as threats evolve and data protection becomes even more critical.
Read on to find out more about Florie’s expectations of the labour market and hiring trends for Tech and Transformation professionals in Malaysia in 2025.
Focus on building a hybrid, diverse and adaptable workforce
Looking ahead to 2025, Florie expects that the hybrid work model will become the norm, and companies will need to adapt their hiring strategies to tap into a talent pool that isn’t limited by geography. They will also need to review existing protocols for recruitment and employee engagement, coming up with fresh approaches for remote onboarding and sustaining company culture in a distributed work environment.
Another trend set to shape the hiring market is the increased demand for specialised skills in emerging technologies like artificial intelligence (AI), machine learning (ML) and cybersecurity. Besides sourcing candidates with the desired skillsets, companies will invest in training programs to upskill their talent pool. They will also favour adaptable candidates who can develop competencies in these domains quickly.
Diversity, equity and inclusion (DEI) remains a key area of focus, influencing the way companies approach workplace culture and employee engagement. More and more, companies will seek various avenues to build diverse teams, including partnering with educational institutions and reducing biases in the recruitment process.
Hiring demand centred on emerging technologies and cybersecurity
The tech and transformation space are characterised by innovation and constant change, and it demands versatile individuals who can keep pace with the introduction of new technologies and market players. In 2025, the three domains that will see the greatest demand are data analytics and data science, AI and ML, and cybersecurity.
“Data analytics and data science features strongly because businesses now seek to analyse and derive insights from the huge stores of data they are collecting,” explains Florie. “Proficiency in tools like Python, R and data visualisation platforms are essential for candidates in this domain.”
More startups and tech companies are entering the Malaysian market, and to stand out, companies are using AI and AML to develop solutions tailored for local needs. Use cases include language processing for diverse Malaysian dialects and customised recommendation systems.
In cybersecurity, businesses are prioritising talent who can support their needs in threat intelligence, vulnerability assessment, and compliance with local regulations.
Cost of living, flexibility and welfare top of mind for candidates
Recent economic downturns and industry shifts have made for a volatile job market, and many tech professionals now approach job moves with more caution. They compare culture and stability between current and prospective employers, and are compelled to move only if they are sure the new role aligns with their long-term career goals and values.
“Those career goals often entail work that is at the forefront of innovation, or which has a meaningful impact on society,” reveals Florie. “Tech professionals want inclusive, collaborative environments that allow them to contribute ideas and work on projects that interest them. Thus, they tend to seek out positions in startups and organisations that have a strong mission.”
Work-life balance and flexibility are also extremely important for candidates in this space, who appreciate the ability to balance their work and personal lives.
Tech professionals want inclusive, collaborative environments that allow them to contribute ideas and work on projects that interest them. Thus, they tend to seek out positions in startups and organisations that have a strong mission.
Compensation and culture key in war for talent
Businesses face a tight, competitive talent market. Companies that proactively adjust compensation strategies will fare better at attracting and retaining talent in the year ahead – an approach that is highly advisable as market players dole out additional sign-on bonuses and perks to secure top talent.
In a competitive job market, Florie states that businesses that prioritise employee satisfaction and career growth are best positioned to create a workforce of loyal, talented professionals.
Work-life balance factors heavily for tech candidates, so Florie recommends allowing employees to choose their own work environment, offering options for remote, hybrid or flexible arrangements. “Shift from monitoring hours worked to evaluating outcomes and performance, fostering a culture of trust,” she adds.
In addition, employees feel most connected in a culture where diverse perspectives are valued. Especially since success in the tech industry is predicated on creativity and innovation, companies gain an edge when they create open environments for employees to pitch new ideas, work on passion projects and share feedback. To this end, Florie suggests, “Support your teams as they experiment with new technologies and processes. This may even lead the company to the next innovative breakthrough.”
Rise in salaries
On the whole, salaries are expected to go up amidst talent shortages and strong demand. Nevertheless, with some candidates taking flexible and remote work arrangements as their top priority, companies will respond by adjusting salaries based on the cost of living in different regions.
In particular, salaries for in-demand areas like AI, cybersecurity and data analytics will increase significantly, potentially outpacing inflation. Job seekers can expect increments exceeding hikes of 20 – 30% in previous years.
Find out more
Request access to our 2025 Salary Survey to benchmark salaries and to find out more about key hiring trends in the Tech and Transformation industry in Malaysia.
