GEORGE TOWN: Only 10% of the country's 3.26 million self-employed people actively contribute to PERKESO's Self-Employment Social Security Scheme (Lindung Kendiri).
PERKESO group chief executive officer Datuk Seri Dr Mohammed Azman Aziz Mohammed said the number is worrying, as only 325,008 self-employed persons (OBS) in the country are active contributors as of Jan 23.
"In Penang, 15,021 self-employed are active contributors, sending a clear signal that the gap in social protection remains wide and requires urgent attention," he said in his speech at the signing of a memorandum of understanding (MOU) with the Penang Island City Council (MBPP) at the PERKESO office here on Monday (Feb 9).
Azman said that only 38,358 people nationwide are contributing under the hawker sector, with Penang accounting for 13.17% or 5,053 contributors.
He said these figures suggest that a significant number of small traders have yet to recognise or experience the benefits of this social protection scheme.
He stressed that these contributions are not a loss but rather an investment in security that can serve as a lifeline in the event of unforeseen circumstances.
He said that last year, PERKESO disbursed RM31.25mil in benefits to 7,693 contributors under Lindung Kendri nationwide, including 424 self-employed individuals in Penang.
The MOU, signed by Azman and MBPP mayor Datuk A. Rajendran, is aimed at strengthening the social safety net, particularly for hawkers and small traders.
