Labour Market plays asignificant role in analysing and investigating the macroeconomic and the microeconomic success of stabilization and adjustment policies by the government of Malaysia. Labour Force Participation rate is always a concern in economic view in Malaysia. The main objective of this research is to study how the factors of labour force will affect the overall labour force participation rate (LFPR) for each state in Malaysia from the year 2011 to 2016. The System Generalized Moment of Method has been applied in this study. The results reported including Onestep Sys-GMM, Two-step Sys-GMM and Two-step Sys-GMM with Robustness test. The Two-step SysGMM with Robustness test estimator is the most suitable model in this study. The Two-step SysGMM shows the outside labour force and unemployment rate have negative relationship with the overall labour force participation rate. Besides, the unemployed has a positive relationship with the overall labour force participation rate. From the view of economic, the relationship between labour force participation rate and determinant variables is important in the manner that they can affect the economic performance Malaysia.