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The Effect of Tourism Sector on Employment in Malaysia<br />

Tuan Nur Amira Syahirah binti Tuan Mansor<br />

Supervisor: Dr Bayu Taufiq Possumah<br />

Bachelor of Economics (Natural Resources)<br />

School of Social and Economic Development<br />

Tourism industry is one of the sectors that is a major contributor to national income<br />

and economic growth. It also influences the demand for employment to develop this<br />

sector. In this context, the major services such as accommodation services, food<br />

preparation, transportation services and hospitality are also used in the tourism<br />

industry. As such, employment plays important role in developing this sector.<br />

Therefore, job opportunities will be available to the people. This study aims to find<br />

out the relationship of tourism on employment and the impact of tourism to the Gross<br />

Domestic Product in Malaysia. By using the Ordinary Least Squares (OLS) analysis<br />

method as a projection to know the relationship between employment and income in<br />

the services sector. The results show that employment plays a positive relationship to<br />

the income of the services sector. Thus, employment has an impact in terms of<br />

improving the services in the tourism industry.<br />

Keywords: tourism industry, employment, Malaysia, GDP<br />

1457 | UMT UNDERGRADUATE RESEARCH DAY 2018

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