A Perl subroutine is a block of code that performs a specific task. Subroutines allow code to be reused and executed from different parts of a program with different parameters. They are defined using the "sub" keyword followed by the subroutine name and code block. Subroutines can accept arguments, return values, and contain private variables scoped to the subroutine using the "my" keyword. This modular approach improves code organization, reusability, and maintainability.