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Both wage and non-wage factors are important recipes in determining hiring decisions. Employers must balance the need to offer competitive wages to attract talent with the need to create an appealing work environment for their employees.

Analyses indicate that wage and non-wage interventions are important variables in increasing the labor supply. In the case of Penang, salaries and wages provided by industries are considerably low and increasing salaries and wages in Penang could induce migration of youth unemployment to Penang.

For some labor force segments such as graduates, nonwage interventions such as working environment, fair employers and comfortable working space are important elements to attract their participation. For the case of labor shortage economy like Penang, both wage and non-wage interventions should be integrated in any effort to increase and retain employment.