guide to opening category c private employment agency in malaysia

A Quick Guide To Category C JTK Licenses

This guide is for those looking to open a private employment agency under category ‘C’, which covers the following business activities:

  • recruitment of local workers, foreign domestic workers, and non-citizens
  • representation of employers in applications, recruitment, and placement of foreign domestic workers and non-citizens (including dealings with government agencies)
  • job-matching local workers with overseas employment
  • conducting training sessions for workers not exceeding three days, and
  • conducting career seminars, counselling consultation, and job fairs

If you don’t plan for your agency to carry out these activities, see our complete employment agency guide to identify your category.

If category C sounds right, let’s begin!

Minimum requirements

There are four types of requirements you must fulfill:

  1. Capital
  2. Business Entity
  3. Premises
  4. Directors

1. Capital

You need to prepare at least two types of capital:

  • Paid-up capital: RM250,000
  • Security deposit: RM250,000

Additionally, every new branch you intend to open requires an additional security deposit of RM100,000,

This security deposit serves as a financial guarantee to settle any debts to JTK if penalties are imposed.


2. Business entity

In Malaysia, employment agencies are not allowed to operate as a Sole Proprietorship and must be registered as a Sdn Bhd, which in turn must meet the following requirements:

  • at least 51% Malaysian ownership
  • company name must begin with “Agensi Pekerjaan”
  • the business activity must state: “To carry on the business as Private Employment Agency to recruit and place worker/s to another employer.”

3. Premises

Private employment agencies must have a physical office that is:

  • located in a public and accessible location
  • easily reachable by public transport
  • not near establishments involved in immoral activities
  • displays a signboard showing the agency name and license number
  • housed in commercial premises or residential units with SOHO / SOVO status

4. Directors

All directors of the private employment agency must:

  • Be Malaysian citizens
  • Not be discharged bankrupts
  • Provide a statutory declaration confirming they are not convicted of human trafficking or forced labour

Required documents

You may also use JTK’s official checklist for convenience:

⚠️ Note: The business address on your SSM profile, PBT license, and application form must be the same.

License fees

JTK imposes four types of fees:

Fee TypeAmount (RM)
New application processing fee300
License renewal processing fee100
New branch application processing fee100
Annual license fee500

These do not include additional charges if you engage a third party like MISHU to handle your JTK dealings and license application – but we promise we don’t charge much 😊

License application steps & timeline

While the steps and fess are the same every time, treat the estimated waiting times as rough estimates as every application is made under different circumstances. 

StepTime TakenNecessary Documents / Fees
Step 1: Company incorporation3 – 5 working daysRegister for account on SSM MyCoID and carry out name reservation + incorporation.

You will be asked to provide the following information:

1. Proposed company name
2. Private / public company
3. Proposed type of business
4. Registered office address
5. Business address
6. Details of directors(s) and promoter(s)
7. Declaration from directors(s) and promoter(s)
8. Declaration of compliance from individuals responsible for incorporation 

Fee: RM1,010
Step 2: Apply for premise and signboard license15 – 30 working daysObtained from Local Authority where premise is located.

You will be asked to provide copies of the following:

1. Set of SSM documents
2. S&P / Tenancy Agreement
3. Applicant’s MyKad photo
4. Office layout plan
5. Pictures of premises
6. Certificate of Completion and Compliance (CCC) OR Certificate of Fitness (CF) Quit Rent (Cukai Tanah) and Assessment (Cukai Taksiran/ Pintu) receipts
7. Fire Department letter
8. Photos of exterior where signboard will be displayed
8. A colour visual of signboard design with measurements

You also need to submit to a premise inspection by the Local Authority and make changes if requested.

Fee: Differs between municipalities
Step 3: Apply for JTK license with Department of Labour30 working daysFill in the following documents and submit them physically at the nearest Labour Office:

1. License Application Form
2. Sworn Statement 
3. Official document checklist

Fee: RM300
Step 4: Register employees with Department of Labour30 working daysThese must be submitted physically at a Labour Office.

1. Identification Application
2. Official document checklist

Fee: RM50 / per employee
Step 5: Submit monthly reportsn/aSubmit the following four records to the Labour Department every month:
1. Registration of Jobseekers, Placement & Fee Collected
2. Registration of Employers, Placements & Fee Collected
3. Vacancies
4. Acknowledgment of Acceptance of Employees by Employers
Step 5: Renew JTK license30 working daysEvery license category is valid for 24 months from the date it is issued, after which it must be renewed. As before, these documents must be submitted physically at a Labour Department branch.

1. Application for Agency License Renewal 
2. Official document checklist

Fee: RM100

For a full breakdown of what it takes to run an agency, check out the Labour Department’s official list.

Otherwise, that’s it for now! We wish you all the best with your agency application, and if you ever need assistance, the MISHU team is always here.

Start your employment agency with MISHU

MISHU has helped incorporate dozens of private employment agencies in Malaysia on behalf of other businesses and entrepreneurs. Our team is here to answer any questions you may have, so get in touch!

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