PETALING JAYA: The World Bank Group expects Malaysia’s informal employment sector to decrease to 21% by 2040, depending on whether productivity growth and the relative growth of labour costs continue to trend upwards. The “ Informal Employment in Malaysia ” report by the World Bank reported that the sector has exhibited a consistent decline, which dropped from 30.5% in 2019 to 26.8% in 2022, translating to about 4.1 million workers. Based on the findings, the downward trajectory suggests a subst