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Q：
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Does a Company require license to operate Recruitment Agency in Malaysia?
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A：
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Yes. There are three (3) types of recruitment licenses, depending on the type of recruitment business.
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Licence A is job placement for a job seeker within Malaysia
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Licence B is job placement for a job seeker within and outside Malaysia, and foreign domestic servant within Malaysia.
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License C is job placement for a job seeker within and outside Malaysia, and non-citizen employee within Malaysia (including foreign domestic servant and expatriate)
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Q：
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Can a foreigner own a recruitment agency in Malaysia?
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A：
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A private employment agency must be a company incorporated under the Companies Act 2016 with at least 51% of the shareholding held by Malaysian citizens. Private employment agencies run by an individual or in the form of partnership are not allowed.
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Q：
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What are the requirements for the person responsible for the recruitment agency?
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A：
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The director named as the person responsible for the agency must be a Malaysian citizen, not an undischarged bankrupt and not have been convicted of offences relating to human trafficking or forced labor.
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Q：
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Are they any specific company naming requirement for a Recruitment Agency?
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A：
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Yes. In accordance with the Private Employment Agencies Act 1981, any company incorporated to operate as a recruitment agency must include the Malay words "Agensi Pekerjaan" (which translates to "Employment Agency") at the beginning of its registered name.
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Q：
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Are there any physical office/premise guidelines required to secure a license?
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A：
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Yes. The recruitment agency must operate from a suitable, dedicated commercial premise approved by the Director General. The premises used for the private employment agency must not be shared with other companies or used for activities unrelated to the employment agency business, mainly due to safety and privacy considerations.
Co-working spaces may have some flexibility, subject to certain conditions. You may need to check with the license authority first to avoid the risk of rejection after committing to a tenancy agreement and incurring unnecessary costs.
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