Hello ,


One of my clients wishes to register his company. And his business activity would be Placement. I wanted to know if any kind of license or legal registration in any other law is required to start a placement company? Like your need to register with the govt if you are invloved in placement for foreign companies. so is there anythin similar for indian companies?



Posted 2 years, 2 months ago by CS Sneha Richard

Regulations related to Placement agencies are governed by states in which your agency is functioning. Various states requires a registration under shops and Extablishement act or different labour laws.

Different kind of placement agencies and services are regulated by below acts:

  1. Manpower Export and Placement Agencies are covered under Immigration Act, 1983
  2. Labour Contractors covered under Contract (Abolition & Regulation) Act, 1970 and the Inter-State Migrant Workmen(Regulation of Employment and Conditions of Service) Act, 1979
  3. Private Security Agencies – governed by Private Security Agencies(Regulation)Act,2005; and
  4. Private Placement Agencies catering to specific needs of the employers/labour market are not regulated by any specific act and are regulated by states as per their local needs.

Apart from requirements of these legal acts, you need to be registered under:

  1. Service Tax upon crossing minimum limits,
  2. Profession tax,
  3. Shops and Establishment Act

Posted 2 years, 2 months ago by CA Pulkit Sharma

Thank you so much CA Pulkit Sharma

Posted 2 years, 2 months ago by CS Sneha Richard

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