Budget 2027: Work-Based Learning Key To Expanding TVET Access - MTVET

By Nabilah Saleh

KUALA LUMPUR, Oct 7 (Bernama) -- Work-based learning (WBL) should be one of the key focus areas of Budget 2027 to support the country’s efforts to provide 1,188,479 new enrolment opportunities in Technical and Vocational Education and Training (TVET) between 2027 and 2031.

National TVET Council (MTVET) Secretariat head Dr Azmir Mohd Yunus said the approach would enable wider access to training without relying heavily on the physical capacity of TVET institutions, which can currently accommodate only about 450,000 students at any one time.

“If we want to take in more students, we cannot have them spending too much time in the institutions. They can spend more time in the industry, while the places they leave behind can be used by the next cohort,” he said in an exclusive interview with Bernama.

Based on MTVET projections, the 1.19 million figure represents 60 per cent of the 1,980,799 students from Form One to Form Five expected to sit for the Sijil Pelajaran Malaysia (SPM) examination between 2026 and 2030.

The 13th Malaysia Plan (13MP) initially aimed to raise TVET enrolment among SPM leavers (or equivalent) from 56.86 per cent in 2025 to 60 per cent by 2030, with the target subsequently increased to 70 per cent during the MTVET meeting on March 5.

Azmir said models such as WBL, apprenticeship programmes and the Industry-Based Academy (ADI) offer a more practical approach to training by combining classroom theory with workplace experience, while making better use of existing training facilities.

He said any additional allocation under Budget 2027 should be channelled towards programmes that enhance graduates’ earning potential, strengthen their technological capabilities and develop skilled talent for high-value sectors such as semiconductors, electronics and the digital economy.

“Most importantly, the TVET 2.0 Transformation must bring about four key shifts, namely moving from institution-based training to workplace-based learning; from pre-employment training to upskilling existing workers; from certificate-level training to higher-level qualifications; and from consultative industry involvement to investment partnerships,” he said.

Data from the Department of Skills Development showed that 423,936 Malaysian Skills Certificates, Malaysian Skills Diplomas and Malaysian Skills Advanced Diplomas were issued between 2020 and 2025, with 82.6 per cent being Level 2 and Level 3 certifications.

Meanwhile, the 2025 TVET Graduate Employment Rate report by the Ministry of Higher Education (MOHE) found that 95.9 per cent of graduates covered in the study were employed, with advanced diploma holders recording 99.1 per cent, diploma holders 95.9 per cent and certificate holders 95.4 per cent.

The income breakdown further shows that 26.3 per cent of advanced diploma graduates earn between RM3,001 and RM4,000 a month, followed by 8.5 per cent earning between RM4,001 and RM5,000 and 6.6 per cent earning between RM5,001 and RM10,000.

“The data shows that there is strong demand for these qualifications, and that industry is willing to pay more for higher-level skills,” said Azmir.

He added that industry should move from simply advising on curriculum content and accepting graduates to actively shaping training programmes, providing learning venues and investing in talent development.

“Industry can no longer just make suggestions from the sidelines. It has to be part of the process because it will also benefit from the skilled workforce we are developing.

“TVET 2.0 is not just about introducing new programmes or increasing government allocations. It is about transforming how talent is identified, trained, upskilled and ultimately absorbed into the job market. This is essential to building a highly skilled workforce and ensuring better career prospects,” he said.

Prime Minister and Finance Minister Datuk Seri Anwar Ibrahim is scheduled to table Budget 2027 in the Dewan Rakyat on Friday.

--BERNAMA