Setting up an Employment or Recruitment Agency in Ireland

Employment Agency Licence

When setting up an Employment Agency or a Recruitment Agency in Ireland you are required to obtain an Employment Agency licence. Opening and running a recruitment agency in Ireland is subject to strict requirements. We can guide you through the process and help you to obtain the licence without any delay. 

The recruitment agency license process is described below:

1. When you are setting up an Employment Agency in Ireland, you are required to publish a Notice in a national daily Irish newspaper stating your intention to apply for an Employment Agency License. We can help you to advertise the in the local newspapers as Nathan Trust has partnered with Irish Newspapers to do the job efficiently for local and international clients.
   
   
2. You must then complete an Application Form - including the Vetting Invitation Form (Police/Garda Vetting). The Employment Agency Licence requires the applicant to provide a police clearance certificate from the local police or from the place where the Director is originally from.
   
   
3. You must also arrange and provide the following documents:

• 2 completed Independent Referee Forms. You require references from two independent referees who are residents in the state and to whom you are well-known. We can assist with this if required.
  
  
• Proof of Identity documents – You can provide either a scanned copy of your passport or driving licence to process the recruitment agency licence in Ireland.
  
  
• a self-certified Statement that your place of business meets the standards of accommodation that are prescribed by the Employment Agency Act and Safety, Health and Welfare at Work Act.
  
  
• proof that your Business Name has been registered with the Companies Registration Office (CRO). You must provide a copy of your company’s Certificate of Incorporation. We can also help you to set up your company in Ireland.

• a copy of your ‘Statement of Fees’ – these is the fees you intend to charge to employers. A ‘Statement of Fees’ is a statement outlining the fees that you intend to charge clients (i.e. your ‘Terms & Conditions’).  We need a copy of your fee structure to ensure that you do not charge the candidate/job seeker a fee. It is illegal to charge the candidate/job seeker a fee solely for agreeing to seek employment under The Employment Agency Act, 1971. You can, of course, structure your client fees at any rate you choose. This scanned copy will be attached to your application when we process it for you.

Trading Without a Licence

It is a criminal offence to carry on the business of an employment agency in Ireland without a valid Employment Agency Licence. Under Section 10 of the Employment Agency Act, 1971, a person found guilty of trading without a licence is liable to a fine of up to €2,500, and where the offence continues, a further fine of up to €1,000 for each day it continues. This is separate from any requirement to stop trading immediately once the offence is identified.

This is why we recommend starting the application process well in advance of your planned launch date. If you are already trading and are not sure whether your current licence is valid or up to date, contact our team and we can check this for you.

FAQs

How long does it take to process an Employment Agency Licence application?

Upon receipt of a new Employment Agency Licence application, the process can take approx. 2-3 weeks. 

For how long is an Employment Agency Licence valid?

The licence is valid for one year from its date of issue. When renewing an existing licence, it is recommended that the application should be submitted four weeks before the existing Licence’s expiry date. You can contact our team again to renew your application for another year. The licenses are renewed again on a renewal fee paid to the WRC. 

We will send you the renewal form and schedule 4 forms to complete the necessary details prior to proceeding with the application again. 

What are the documents required to obtain a recruitment agency license in Ireland?

To obtain a valid employment agency license in Ireland, you may need to complete various steps:

• Application form duly filled and signed by the applicant. We can assist you in completing the application form
• Application fee payment
• It must include the below attachments:

1. One newspaper advertisement cut out from the local newspaper
   
   
2. Referee form filled and signed by two references
   
   
3. Company incorporation certificate obtained from CRO
   
   
4. Police clearance certificate/Garda vetting form
   
   
5. Statement of fees
   
   
6. In the case of the businessmen starting a recruitment agency in Ireland who are both foreigners and citizens of countries outside the European Economic Area (EEA), it is also necessary to provide a photocopy of the passport or a photocopy of the residency card issued in Ireland.

Does every recruitment business need an Employment Agency Licence?

Most commercial recruitment and staffing businesses do. The Act does set out a small number of exemptions, but these are narrow and apply mainly to organisations that are not run for profit. (non-profit organisations placing people with disabilities into work or education or training bodies placing their own students or trainees) This also applies to charitable or social work organisations that do not charge a fee for staffing placements. If you are operating, or plan to operate, a fee-charging recruitment or staffing agency, you will need a licence.

Can a UK or US recruitment company apply for an Irish Employment Agency Licence?

Yes. Many international recruitment firms use Ireland as a base for servicing EU clients and candidates. The licence must be held by an Irish-registered entity, so your recruitment business will need an Irish company in place. We regularly assist UK, US and other overseas recruitment businesses with Irish company formation and Employment Agency Licence applications, allowing the process to be completed remotely in most cases. Most of the application itself, including the newspaper notice, referee forms and Statement of Fees, can be handled without you needing to travel to Ireland. Where the Act requires additional documentation from non-EEA directors (a copy of your passport or Irish residency card) we will tell you exactly what is needed for your situation before you apply.

What are the main types of Irish legal entities you can choose to set up a recruitment agency?

The setup process of a recruitment company or agency follows the same rules and regulations applicable to all types of companies in Ireland. It is important to decide what type of entity you want to set up for an Employment agency in Ireland. Businesspersons or entrepreneurs can choose to incorporate an Irish company under the following legal entities:

• A company limited by shares
• Designated activity company
• A company limited by guarantee
• Public limited company
• Unlimited company
• Limited liability partnership

Among all the options listed above, the private limited liability company remains the most appropriate choice for local and international Directors or investors.

Can I hire foreign employees through the new recruitment agency in Ireland?

Yes, Irish recruitment agencies can hire foreign employees or nationals on behalf of local companies, however, you must meet certain specific requirements related to working permits for non-EU citizens. The recruitment agency in Ireland will not be responsible for ensuring work permits (if required) on behalf of the companies, as it will be the responsibility of the company or individual to take care of the work permits.

If you are interested, our experts can help you with any queries. 

Can an Employment Agency trade while waiting for a Licence to be considered?

No, it cannot trade until it has its Licence. You must have a valid Employment Agency Licence before you commence trading.

If you are interested in setting up an Employment or Recruitment Agency in Ireland you can contact us using the form below. You may also like to have a look at  things you need to know to set up your company in Ireland. 

Renewal of Employment Agency Licence

An employment agency licence is valid for only 1 year from the date of the licence approval. 

If you have an employment agency licence that is due to expire, we can help with the renewal. 

We will require these two important documents:

1. Police clearance certificate 

2. Existing licence number

Contact our team if you are interested in renewing your employment agency licence.