NAVIGATING THE AI-DRIVEN TRANSFORMATION OF EMPLOYMENT RELATIONS IN SABAH PUBLIC SECTOR: A PRELIMINARY STUDY
DOI:
https://doi.org/10.55197/qjssh.v7i3.1421Keywords:
artificial intelligence, employment relations, public sector, Sabah, scoping review, reflexive thematic analysisAbstract
Artificial intelligence (AI) is rapidly reshaping public sector employment relations globally, yet evidence from subnational jurisdictions within developing federations remains limited. Sabah, Malaysia, has embarked on an ambitious digital transformation agenda that includes integrating AI into civil service. However, the nature and extent of AI’s impact on employment relations, particularly management authority, employee voice, and workplace governance, have not been systematically examined. This preliminary scoping review synthesises available evidence on how AI adoption is transforming employment relations in Sabah’s public sector and identifies the main challenges, opportunities, and strategic adaptation pathways reported in the literature. Studies and credible grey literature published in English or Malay between 1 January 2020 and 1 May 2026 were included if they addressed AI deployment and workforce or employment relations implications within Sabah’s public sector. Documents focusing solely on technical AI architecture without workforce implications were excluded. Scopus, Web of Science, Google Scholar, Malaysian institutional repositories, and government portals were systematically searched. A customised extraction form recorded bibliographic details, study context, AI technologies, employment relations dimensions, and key qualitative findings. Data were synthesised using Braun and Clarke’s reflexive thematic analysis. Seventeen sources met the inclusion criteria. Three overarching themes were developed: (1) AI-Induced Reconfiguration of Public Service Work Design, encompassing job displacement concerns, task augmentation, and emerging competency requirements; (2) Algorithmic Governance and the Shifting Employment Relationship, including algorithmic management, procedural justice concerns, and technostress; and (3) Strategic Adaptation Through Institutional Capacity Building, covering training initiatives, social dialogue, and policy responses. AI transformation in Sabah’s public sector remains nascent and fragmented, with substantial evidence gaps concerning collective bargaining, trade union engagement, and equity outcomes. The findings highlight the need to embed social dialogue and workforce participation within Sabah’s digital transformation agenda to ensure that AI-driven modernisation strengthens rather than weakens public sector employment relations.
References
[1] Abdullah, N.H., Zumrah, A.R., Ali, K. (2025): Linking technostress to Malaysian public servants’ well-being: A moderated model. – Journal of Advanced Research in Business and Management Studies 41(1): 178-190.
[2] Arksey, H., O’Malley, L. (2005): Scoping studies: Towards a methodological framework. – International Journal of Social Research Methodology 8(1): 19-32.
[3] Arshad, N.A., Arisa, S. (2016): Human resource recruitment system in Sabah state government. – Universiti Teknologi MARA 55p.
[4] Benkirane, K., Benazzi, K. (2025): Artificial intelligence in public administration: A comprehensive literature review on opportunities, challenges and strategic implementation. – International Journal of Technology Intelligence and Planning 14(1): 52-77.
[5] Bernama (2025): Penubuhan Majlis Penasihat Buruh Sabah platform lindungi hak pekerja. – Bernama Web Portal 1p.
[6] Bernama (2024): Kerangka Dasar Sumber Manusia Kebangsaan dilancar. – Bernama Web Portal 3p.
[7] Bhatia, A.K., Alagaratnam, S. (2026): Artificial intelligence at work: A Malaysian perspective. – International Bar Association Web Portal 6p.
[8] Bian, X., Panyagometh, A., Wang, B., Szabó, R.Z. (2025): AI-powered digital transformation of government human resource management: A bibliometric and systematic literature review. – Journal of Innovation Management 13(3): 66-95.
[9] Bitonio, B.E.R., Jr. (2022): Social dialogue in the public services in selected ASEAN countries: A comparative overview of the laws, institutions and practices in Indonesia, Malaysia, the Philippines, Singapore and Thailand. – International Labour Organization 37p.
[10] Booth, A., Sutton, A., Clowes, M., Martyn-St James, M. (2021): Systematic approaches to a successful literature review. – SAGE 424p.
[11] Braun, V., Clarke, V. (2021a): One size fits all? What counts as quality practice in (reflexive) thematic analysis? – Qualitative Research in Psychology 18(3): 328-352.
[12] Braun, V., Clarke, V. (2021b): Thematic analysis: A practical guide. – SAGE 376p.
[13] Braun, V., Clarke, V. (2006): Using thematic analysis in psychology. – Qualitative Research in Psychology 3(2): 77-101.
[14] Chilunjika, A., Intauno, K., Chilunjika, S.R. (2022): Artificial intelligence and public sector human resource management in South Africa: Opportunities, challenges and prospects. – SA Journal of Human Resource Management 20: 12p.
[15] Daily Express (2026): Sabah to pivot toward AI and skilled workforce to boost public service. – Daily Express Web Portal 2p.
[16] Daily Express (2025a): Artificial intelligence being considered for efficiency: TYT. – Daily Express Web Portal 2p.
[17] Daily Express (2025b): Sabah first to use Google Workspace AI. – Daily Express Web Portal 3p.
[18] Danemayer, J., Boggs, D., Smith, E.M., Ramos, V.D., Battistella, L.R., Holloway, C., Polack, S. (2021): Measuring assistive technology supply and demand: A scoping review. – Assistive Technology 33(sup1): S35-S49.
[19] Döring, M., Mikkelsen, K.S., Madsen, J.K., Haug, K.B. (2024): Creating a workforce of fatigued cynics? A randomized controlled trial of implementing an algorithmic decision-making support tool. – Government Information Quarterly 41(1): 14p.
[20] Gamuda Berhad (2025): Sabah welcomes first Gamuda AI Academy in East Malaysia. – Gamuda Berhad Web Portal 4p.
[21] Institute of Borneo Studies (IBS) (2025): CCDG: Transforming civil servants into digital catalysts for community-centric governance. – UNIMAS Gazette Web Portal 8p.
[22] Jabatan Perkhidmatan Awam Malaysia (JPAM) (2024): Pengurusan hubungan majikan-pekerja. – Pekeliling Perkhidmatan Sumber Manusia 55p.
[23] Levac, D., Colquhoun, H., O’Brien, K.K. (2010): Scoping studies: Advancing the methodology. – Implementation Science 5: 9p.
[24] Maake, G., Schultz, C.M. (2025): Using AI in performance management: A global analysis of local government practices. – Administrative Sciences 15(10): 21p.
[25] Mat, A. (2023): Industrial relations practices in the Malaysian public sector: A case study of CUEPACS. – Asia e University 250p.
[26] MyDIGITAL Corporation (2023): GovTech Innovation Skilling Pilot Program. – MyDIGITAL Web Portal 4p.
[27] Organisation for Economic Co-operation and Development (OECD) (2025): Governing with artificial intelligence: The state of play and way forward in core government functions. – OECD Publishing 306p.
[28] Organisation for Economic Co-operation and Development (OECD) (2023): Social dialogue and collective bargaining in the age of artificial intelligence. – In: OECD Employment Outlook 2023: Artificial Intelligence and the Labour Market, OECD Publishing 36p.
[29] Peters, M.D.J., Godfrey, C., McInerney, P., Munn, Z., Tricco, A.C., Khalil, H. (2020): Scoping reviews. – In: Aromataris, E., Munn, Z. (eds.): JBI Manual for Evidence Synthesis 46p.
[30] Pieroni, L., Rossello Roig, M. (2026): AI adoption in bureaucracies. – Journal of Institutional Economics 22: 21p.
[31] Public Sector Future Workforce Forum (PSFWF) (2025): Managing technology that manages people: A social partnership approach to algorithmic management systems in the Welsh public sector. – Welsh Government 14p.
[32] Ramli, F. (2026): Sabah must keep pace with AI, paperless administration to stay progressive. – Bernama Web Portal 1p.
[33] Riso, S., Adăscăliței, D., Oosterwijk, G.R. (2025): Implications of algorithmic management for work, employment and social dialogue: Literature review. – Eurofound Working Paper WPEF25083 74p.
[34] Sirman-Winkler, M., Szafran, D., Wang, S.M. (2024): Algorithmic profiling in public employment services: A systematic review on the effects on caseworkers and jobseekers. – EasyChair Preprint No. 13691 32p.
[35] Smith, J., Nels, A., Emery, L., Stanley, M. (2023): Exploring the use of photovoice in understanding the lived experience of neurological conditions: A scoping review and reflexive thematic analysis. – International Journal of Qualitative Methods 22: 14p.
[36] Sokial, S. (2025): Be mindful of words and action, the people are the ‘CCTV’, Hajiji tells Sabah civil servants. – The Star Web Portal 2p.
[37] TalentCorp (2025): TalentCorp and MyDIGITAL launch MyMahir National AI Council for Industry to accelerate workforce readiness. – TalentCorp Web Portal 5p.
[38] The Borneo Post (2025): Sabah public service jobs demand AI, digital skills. – The Borneo Post Web Portal 2p.
[39] The Sun (2026): JPA to study AI impact on civil service positions. – The Sun Web Portal 3p.
[40] Trades Union Congress (2025): General Council Report 2025. – Trades Union Congress 120p.
[41] Tricco, A.C., Lillie, E., Zarin, W., O’Brien, K.K., Colquhoun, H., Levac, D., Moher, D., Peters, M.D.J., Horsley, T., Weeks, L., Hempel, S., Akl, E.A., Chang, C., McGowan, J., Stewart, L., Hartling, L., Aldcroft, A., Wilson, M.G., Garritty, C., Lewin, S., Godfrey, C.M., MacDonald, M.T., Langlois, E.V., Soares-Weiser, K., Moriarty, J., Clifford, T., Tunçalp, Ö., Straus, S.E. (2018): PRISMA extension for scoping reviews (PRISMA-ScR): Checklist and explanation. – Annals of Internal Medicine 169(7): 467-473.
[42] UNISON (2026): UNISON AI Hub. – UNISON National Web Portal 2p.
[43] Universiti Kebangsaan Malaysia (UKM) (2024): Employment practice unions: Structured communication through the Majlis Bersama Jabatan. – Sustainability@UKM Web Portal 2p.
[44] Utusan Borneo (2026): Sabah perkasa pendigitalan dan AI, lahirkan tenaga kerja berkemahiran tinggi. – Utusan Borneo Web Portal 3p.
[45] World Bank (2025): Malaysia Economic Monitor October 2025: From bytes to benefits: Digital transformation as a catalyst for public sector productivity. – World Bank Group 102p.
[46] Zahiid, S.J. (2025): World Bank says Malaysia’s digitisation push held back by talent shortage, resistance to change. – Malay Mail Web Portal 3p.
Downloads
Published
Issue
Section
License
Copyright (c) 2026 NUR AMILIAH MOHAMMAD AMMAR, AZIZAN MORSHIDI
This work is licensed under a Creative Commons Attribution 4.0 International License.
