The aim of this study was to determine the important factors that influence unemployment among graduates in Malaysia. The variables consisting of job mismatch, English proficiency and employability skills are shown as independent variables for this study. The respondents were 150 employers and workers in Malaysia. The results showed that job mismatch, English proficiency and employability skills have an influence on graduate unemployment in Malaysia. All variables show a positive relationship with graduate unemployment. This study refers to primary data as well as secondary data to support the sampling technique. Meanwhile, the researcher uses the questionnaire as a method to collect all the data from the sample respondents to achieve the research objectives. The data from this study were analyzed using several statistical procedures: mean value, standard deviation, and correlation analysis. The result of the study presented in this research confirms that job mismatch; English proficiency and employability skills influenced graduate unemployment. This study can be considered as a foreword to a more detailed study that will be conducted as part of future research on the issue of unemployment among graduates in Malaysia. In Malaysia, 200,000 graduates are now unemployed due to their inability to converse in English. Organizations choose the right people for the job and the organization so that the best performing candidates have the appropriate qualification. “Malaysian Employers Federation secretary Datuk Shamsuddin Bardan said a survey carried out a few years ago among its members found that 60 per cent of them identified poor English proficiency as the main problem of young recruits. “Employers are more likely to hire based on...... middle of paper ...... whether population would be a pull factor in attracting foreign direct investment. Malaysia would struggle to compete with more advanced and established manufacturing industries in a liberalized economy that frowns on trade protectionism. The best alternative would be to strengthen a knowledge-based service industry, which requires good knowledge of English. Thus, it can be seen that learning English is not simply a matter of social vanity, but is linked to our economic survival in the post-2000 era of globalization. The education system should take serious steps to improve the soft skills of students. According to newspapers, employers frequently lament that many recent graduates lack vital soft skills such as interpersonal skills, communication skills, negotiation skills, persuasion skills and other vital skills inherent in communication..