The latest Labour Force Survey by the Maldives Bureau of Statistics (MBS) for the April to June 2025 quarter paints a mixed picture of Male’ City’s labour market. While overall employment continued to grow modestly, unemployment rose sharply over the quarter, signalling underlying structural challenges in the capital’s labour dynamics.
The working-age population in Male’ reached an estimated 188,700, of which Maldivians made up around 68 per cent (128,547) and foreigners 32 per cent (60,153). Employment stood at 142,717, representing about three-quarters of the working-age population.
Despite this high employment share, the number of unemployed persons more than doubled from the previous quarter to 4,442, a 104 per cent increase. Nearly all unemployed individuals were Maldivians, with unemployment rates higher among women (5.3 per cent) than men (4.6 per cent).
At the same time, labour force participation rose by two percentage points to 78 per cent, suggesting more people were entering the job market. The increase was most significant among Maldivian women and foreign women, who saw participation gains of 2.1 and 11.9 percentage points respectively.
The simultaneous rise in labour participation and unemployment reflects more people entering the job market than the number of new jobs created during the quarter. While this pushed the participation rate higher, it also temporarily raised unemployment as not everyone who joined the workforce immediately found employment.
Employment gains were largely driven by the secondary sector, which grew by 26 per cent over the quarter, while the service-oriented tertiary sector, which accounts for 76.6 per cent of total employment in Male’, saw a slight decline.
The survey also highlighted persistent gender disparities in employment. Women remain significantly underrepresented in the labour force, with only 58.3 per cent participation compared to 89.9 per cent for men. Moreover, 72 per cent of women outside the labour force cited household or family responsibilities as their main activity, reflecting ongoing barriers to female workforce participation.
Labour underutilisation, which includes those unemployed, underemployed, or part of the potential labour force, stood at 7.5 per cent. However, this figure rises to 13.9 per cent among women, compared to 4.8 per cent for men.
The report noted a decline in the number of individuals outside the labour force by 7.6 per cent, mainly due to more Maldivians entering employment or job-seeking. Yet, a large segment, over 36,000 people, remains inactive due to education, illness, or family commitments.
Overall, while Male’s labour market appears to be expanding, the Q2 data suggests rising unemployment pressures, gender gaps, and an increasing dependence on foreign labour. These findings highlight the need for policies focused on job creation for Maldivians, particularly women and youth, and for ensuring equitable access to emerging opportunities in the capital’s evolving economy.
