What Is PERKESO (SOCSO) and Why It Matters
If you're starting your first proper job, one thing separates a real job from an informal, cash-in-hand arrangement: employee protection through PERKESO (SOCSO).
What is PERKESO / SOCSO?
PERKESO (Pertubuhan Keselamatan Sosial), known in English as SOCSO, is Malaysia’s social security organisation. Established in 1971 under the Employees’ Social Security Act 1969, it protects workers against workplace injury, illness and disability. Every employer with at least one employee must register and contribute.
The two main schemes
- Employment Injury Scheme — covers work-related accidents, accidents while commuting to and from work, and occupational diseases.
- Invalidity Scheme — covers long-term illness or disability not related to work, plus death, providing a pension or benefit to you or your family.
Who pays, and how much?
Employer contributes 1.75% of your monthly wages.
You contribute 0.75% of your monthly wages.
Contributions apply up to a monthly wage ceiling (raised to RM6,000 in October 2024) and are deducted automatically.
Why it matters for your first job
Informal, “no-contract” work might feel simple, but it leaves you unprotected: if you’re hurt on the job or fall seriously ill, you’re on your own. A registered job with PERKESO means real coverage — and it’s a sign you’re dealing with a legitimate, compliant employer.
The takeaway
When you choose where to start your career, choose a proper, registered job. A structured programme or placement that pays you as a registered employee gives you both the experience and the protection — see how to start a sales career in Malaysia and how sales pay works.
Ready to start your sales career — fully paid?
NextGen Sellers is a six-month paid sales placement for Malaysians aged 18–24: earn RM1,800/month, get a free laptop, and finish with real experience, PERKESO protection, and a path to a permanent job.
Learn more & apply →