National Qualifications Framework - Malaysia

• Acronyms
• Overview
• Objectives
• Definition of the NQF
• Structure of the Framework
• Legal Framework
• Organisational Structure
• Standard Setting
• Assessment
• Quality Assurance
• Finance
• Impacts and Achievements
• Contacts

Acronyms

• CBE/L Competency-Based Education / Learning
• MLVK Majlis Latihan Vokasional Kebangsaan (National Vocational Training Council)
• NHEF National Higher Education Fund
• NOSS National Occupational Skill Standards
• SDF Skill Development Fund
• SDFD Skills Development Fund Division
• SKM Sijil Kemahiran Malaysia (Malaysian Skill Certificates)

Overview

The National Skills Qualification Framework in Malaysia was introduced in 1993. The new framework adopted a new 5 level certification system, replacing the prevailing 3 tiered (Basic, Intermediate and Advanced) skill certification system and is administered and maintained by the National Vocational Training Council (MLVK). MLVK was set up in 1989 to promote and coordinate a skills training strategy and programme to facilitate Malaysia’s technological and economic development needs. However, in 1991, the Cabinet Committee on Training in 1991 urged MLVK to review its skills training system and the new framework was introduced as a result¹. MLVK seeks to ensure that skills training programmes are benchmarked against actual workplace requirements, by developing National Occupational Skill Standards (NOSS).

Background

In the late 1980s, rapid economic growth in Malaysia led to an acute shortage of skilled manpower, especially in the manufacturing sector. The skill shortage worsened into the 1990s, leading to the establishment of the Cabinet Committee on Training. In its Final Report published in 1991, the Cabinet Committee recommended sixteen broad policy directions in order to reform and strengthen the training delivery system. The proposed measures are grouped under three main policy objectives:

• Improving the responsiveness of public training to market demands;
• Expanding the role of the private sector;
• Strengthening linkages between training and technological changes.

Skills training is undertaken by various public agencies and institutions under Federal or State authorities. The four (4) main ministries responsible for carrying out pre-employment skills training are the Ministry of Human Resources through the Manpower Department, the Ministry of Education, through its Technical Education Department, the Ministry of Entrepreneur Development, and the Ministry of Youth and Sports.

In the private sector, pre-employment skills training is carried out by an even more diverse and broad spectrum of training providers, covering wide-ranging courses and qualifications.

In line with the recommendations of the Cabinet Committee on Training, 1991, MLVK began overhauling the skills training system in Malaysia through a major review of the national Skill Certification system. In 1993, MLVK introduced two major changes:

• Adoption of a new 5-level National Skills Qualification Framework (Malaysian Skill Certification, Level 1-5), to replace the prevailing 3-tiered (Basic, Intermediate and Advanced) skill certification system;
• Introduction of the Accreditation Approach, to replace the existing national skill testing system.

The policy changes were fundamentally geared towards improving the quality and productivity of the country's skilled workforce, thus enhancing the competitive position of the Malaysian economy at large. The changes also sought to co-ordinate more effectively the diverse skill training activities carried out by both the public and private sectors in the country, and to gear them towards meeting the actual needs of the Malaysian industry. The basic thrusts of the reforms were:

• To reinforce the adoption of Competency-Based Education / Learning (CBE/L) principles in the skill training system in Malaysia;
• To make the National Skill Certification System in Malaysia more flexible, accessible and user-friendly.

MLVK seeks to ensure that skills training programmes are benchmarked against actual workplace requirements, as required in the competency-based training approach, by developing National Occupational Skill Standards (NOSS).

The benefits of the national certification system are summarised as follows:

• Benefits of MLVK accredited programmes to individual school-leavers and workers, the National Skill Certification system may assist them in the following ways:
• By acquiring the Malaysian Skill Certificates, job and career development prospects can be enhanced, since Certificate-holders have been assessed and verified as fulfilling the requirements of gainful employment in Malaysian industry;
• By possessing the Malaysian Skill Certificates, individuals may project themselves as dignified professionals in their own rights, thus enhancing the status of skills jobs and careers at large;
• Individuals who have acquired job competencies, either through training or prior learning and achievements, can be individually assessed and qualified;
• The 5-level national skill qualification framework provides individuals with a career development path, which promotes upward mobility and lifelong learning;
• The national system seeks to change the negative societal perception and low image of skills-based careers, as being only for those deemed to have failed academically. Thus giving greater recognition to the skilled workforce in the country, commensurate with its important role in Malaysian society today.
• Benefits of MLVK accredited programmes to employers and industry the National Skill Certification system can be beneficial in the following ways:
  • The National Skill Certification system provides a common platform for trainees of all skills training institutions, both public and privately-run, to obtain the same national skill certificate, thus reducing the problems of having too many different skills and vocational certificates in the Malaysian job market;
  • By giving due consideration to Malaysian Skill Certificate holders, the recruitment and selection of the right persons for skilled jobs can be enhanced;
  • The MLVK 5-level skill qualification framework provides a basis for developing fairer and more systematic compensation and career structures for skilled jobs;
  • Relevant NOSS may promote a climate for better industrial relations at the workplace, by providing a common understanding of skilled job requirements;
  • Using NOSS as a reference can assist the evaluation of in-house training activities, identification of skill training needs, and setting of training objectives;
  • Using NOSS as benchmarking and a performance enhancement tool can improve productivity;
  • By encouraging workers to go for further training, and gain national skill qualifications, and help demonstrate organizational commitment to the investment in people;
  • By encouraging workers to gain higher skill qualifications and promoting lifelong learning;
  • By placing emphasis on the achievement of outcomes (competencies) based on actual workplace requirements, the national system seeks to produce more competent skilled workers.
• Benefits of MLVK accredited programmes to skill training providers, the National Skill Certification system, particularly its component NOSS, may be used to improve training delivery in various aspects, including the following:
  • Training Objectives and Curriculum: NOSS may be used as the reference for developing training objectives and curriculum;
  • Instructional and Learning Resource Development: NOSS may be used as the fundamental basis for developing instructional and learning guides;
  • Training Equipment and Facilities: NOSS is useful in identifying the main tools, machines, equipment and facilities that are required for undertaking competency-based training programs;
  • Instructor's Profile: NOSS is indicative of job descriptions and specifications that are expected of the instructors involved;
  • Assessment and Certification: NOSS provides the primary basis for assessing the achievement of training objectives, as well as awarding skill qualifications.
• The National Skill Certification system is also beneficial to skill training providers, in other ways, such as:
  • Adopting, or shifting towards, competency-based training approaches;
  • Enhancing the corporate and public image of the training institution, by virtue of its status as an approved Accredited Centre for National Skill Certification;
  • Allowing trainees to gain access to training loans provided under the Skill Development Fund, which started its operation on 2 January 2001;
  • Adding value to existing academic or training programmes, to produce graduates with enhanced employability, relevant to workplace requirements;
  • Providing graduates with greater opportunities for upward skill qualification and job mobility;
  • Demonstrating contribution and commitment to national efforts in terms of skill qualifications, rather than subscribing to, or being dependent on, foreign-based qualifications.

Definitions of related terminologies

• National Occupational Skill Standards (NOSS): NOSS is defined as 'a specification of the competencies expected of a skilled worker who is gainfully employed in Malaysia for an occupational area and level'.
• Accreditation: In the National Skill Certification System, accreditation is defined as: "A procedure in which the MLVK evaluates and approves an organisation as an ACCREDITED CENTRE for undertaking training and assessment leading to the award of the Malaysian Skill Certificates."  This aims to ensuring that Accredited Centres offer, administer and maintain the quality of the Malaysian Skill Certificates for specific jobs covered by National Occupational Skill Standards (NOSS).
• Malaysian Skill Certificates (Sijil KemahIsiran Malaysia, SKM): Malaysian Skill Certificates (Sijil KemahIsiran Malaysia, SKM) are skills qualifications that are awarded by the Malaysian Government, through the National Vocational Training Council (Majlis Latihan Vokasional Kebangsaan, MLVK) under the Ministry of Human Resources. Malaysian Skill Certificates are awarded in order to recognize the important role that skilled persons play in Malaysian society today. By placing emphasis on the achievement of outcomes (competencies) based on actual workplace requirements, the National Skill Certification System is also geared to produce competent and better qualified skilled workers for the Malaysian industry. 

Coverage

The framework adopts a new 5 level of national skill certification system (Malaysian Skill Certification, Level 1-5) to replace the existing 3 tiered skills certification system (Basic, Intermediate and Advanced).

Recognition of prior learning

Experienced and skilled workers who can provide evidences of their previously acquired competencies, based on the requirements of relevant National Skill Occupational Standards (NOSS) are eligible for applying for Malaysian Skills Certifications (SKM).

The NQF in Malaysia is administered and maintained by MLVK and this framework was introduced based on policy recommendations of 1991. Preparing a new law on national vocational training has been proposed in order to enhance activities of MLVK in Malaysia².

MLVK was established under the Ministry of Human Resources on 2 May 1989, for the purpose of promoting and coordinating skills training strategy and programme in keeping with Malaysia's technological and economic development needs. MLVK's main objectives are:

• To establish a coordinated skills training system attuned to Malaysia's development goals and needs;
• To promote the development of skills training;
• To certify skills competence.

In order to ensure that MLVK is attuned to the needs of industry, its Council membership who are appointed by the Minister of Human Resources, represents a partnership of both the public and private sectors, comprising of the following:

• The Secretary-General of the Ministry of Human Resources as Chairman;
• 10 government representatives;
• 10 representatives from the private sector and industry;
• 2 additional members, who in the opinion of the Minister, are able to contribute to the Council.

Standard Setting

MLVK develops NOSS with the direct participation of industry experts and practitioners. By utilising NOSS as the basis for delivering training programmes, training providers ensure that their graduates meet the workplace competency requirements expected by the Malaysian industry. Such a competency-based approach to the development of skilled workforce in Malaysia is outlined as follows.

A CBE/L MODEL FOR SKILL TRAINING IN MALAYSIA

Application for Malaysian Skill Certificates (SKM)

Two main groups of applicants can apply for the MLVK awards Malaysian Skill Certificates (SKM):

• Trainees who have successfully undergone training programmes that are accredited by MLVK;
• Experienced and skilled workers who can provide evidences of their previously acquired competencies, basing on the requirements of relevant National Skill Occupational Standards (NOSS).

In terms of the quality assurance of an Accredited Centre, MLVK imposes a procedure of qualify control and assurance in which three levels of key personnel are involved namely assessors, internal verifiers and external verifiers.

Criteria and procedure to be approved as an accredited centres (for training institutions)

Any organisation, be it a training institution or even workplace, that satisfies the following set of criteria may apply to MLVK to be approved as an Accredited Centre.

Criteria:

• The organisation has been legally established in Malaysia;
• It can provide, by itself or in collaboration with other organisations, the requisite physical facilities and resources such as workshops, classrooms, tools and equipment for undertaking training and assessment to meet the requirements of relevant National Occupational Skill Standards (NOSS);
• It has, or can gain access to, competent and qualified trainers and training officers to undertake training and assessment to meet the relevant NOSS;
• It is able to meet quality assurance policies and procedures stipulated by MLVK, including having Assessors and Internal Verifiers who have been accredited by MLVK through special Induction Courses; and
• It can provide the requisite support and guidance to candidates in order to facilitate their learning and acquisition of the Malaysian Skill Certificates;
• Accreditation is given to an Accredited Centre for a period of 3 to 5 years, after which the Centre may apply for re-accreditation. The Accredited Centre is required to submit the application for re-accreditation 6 months before the expiry of its accreditation. Re-accreditation is usually given for a further 3-5 years.

Procedure:

Any organisation seeking accreditation from the NVTC is required to comply with the procedure as shown below.

Although specific allocation to the development of the Framework is unknown, the Sixth (6MP, 1991-1995), the Seventh (7MP, 1996-2000), and the current Eighth Plan (8MP, 2001-2005) have placed increasingly higher emphasis on skills training. The 6MP allocated RM615.2 million for training alone (out of a total RM8,025.2 million for education and training), the 7MP allocated RM1,661.6 (out of RM10,098.8 million), whilst the 8MP allocated RM4,000.0 million (out of 22,660.0 million).

Skill Development Fund (SDF)

The main objective of setting up the Skill Development Fund (SDF) is to increase the number of skilled workers, in line with the need for K-workers (Knowledge workers) in the K-economy. The role of the fund is to provide financial loans to enable Malaysians to undertake skills training. The setting up of the SDF can help alleviate the financial burden of parents who are financing their children's skills training. This is done in view of the high financial cost of the training and the fact that most of the trainees are from the low and middle-income groups in rural areas. The trainee needs to repay the loan only upon completion of training.

The setting up of the SDF was approved by Parliament on 14 December 2000 as a Trust Fund under Section 10 of the Financial Procedure Act 1957. The fund is specifically used for the purpose of providing loans for skills training.

The SDF is managed by the Skills Development Fund Division (SDFD) under the Ministry of Human Resources. The role of the SDF is similar to that of the National Higher Education Fund (NHEF). However, while the NHEF provides loans for academic studies, the loan by SDF is for skills training.

Conditions for loan eligibility:

• Malaysian citizen;
• Pursuing a Sijil KemahIsiran Malaysia (SKM) Level 1-5 course, which is accredited by the National Vocational Training Council (MLVK);
• No full financial assistance from any other government agency;
• Age between 15 to 50 years.

Amount of loans:

• Maximum of RM 5,000 per annum for the duration of the training;
• For part time trainees, the loan is applicable for fees only, subject to a maximum amount of RM 5,000 per year;
• Loan is subject to an administrative charge of 4% per annum based on reducing balance.

Guarantors:

The borrower must have two guarantors one of whom is the parent/guardian/husband/wife. The second guarantor must have a monthly income of not less than RM 600 per month and must not be more than 45 years old.

Repayment period:

• The borrower is required to commence the repayment of the loan six months after completion of training or after securing a job, whichever is earlier.
• The maximum repayment period and repayment per month for the loan is as follows, with the condition that the loan must be fully repaid by the age of 60 years.

Impacts and achievement

The National Vocational Training Council (Majlis Latihan Vokasional Kebangsaan, MLVK) has, up to December 2001, approved 795 organisations as its Accredited Centres, of which 594 are run by the private sector. 

The information of those Accredited Centres that are approved by the National Vocational Training Council (Majlis Latihan Vokasional Kebangsaan, MLVK) is available through MLVK’s homepage. 1809 centres and 6813 programmes (as of 29 January 2003) could be browsed as well as its code names, programme names and their levels.

Since its introduction in June 1993, the National Skill Certification system has attracted strong participation from skill training providers, both public and private, in Malaysia, as shown below (Accredited Centres and Programmes for 1993-2003). Participation by training providers has been largely voluntary in nature, since currently there is no statutory requirement making it mandatory for training providers to seek accreditation from MLVK.

ACCREDITED CENTRES AND PROGRAMMES (1993 - 2003)

ACCREDITED CENTRES & PROGRAMMES BY AGENCY (DECEMBER 2002)

Contacts

National Vocational Training Council (MLVK)
Contact Department and address:
MAJLIS LATIHAN VOKASIONAL KEBANGSAAN (MLVK)
KEMENTERIAN SUMBER MANUSIA, MALAYSIA.
Aras 7 & 8, Blok D4, Parcel D
Pusat Pentadbiran Kerajaan Persekutuan
62502 PUTRAJAYA
TEL : 03-88865400
FAX : 03-88892423
E-mail address:
mlvk@mohr.gov.my

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