Gov’t suspends two job recruitment companies over fee-related complaints

Collection of fees before employment is not permitted.

The Ministry of Manpower (MOM) has suspended the licences of Global Recruiters Private Limited and SDI Global Private Limited for violating fee-related laws.

MOM investigated Global Recruiters following two complaints in which the company charged and collected agency fees upfront from individuals seeking employment in Europe. Meanwhile, SDI Global was investigated due to collecting agency fees before employing jobseekers.

Under the Employment Agencies Act (EAA), the collection of fees before a jobseeker has been employed is not permitted and constitutes an infringement of the EAA. This requirement is also applicable even if employment agencies (EA) are facilitating overseas placements.

The ministry reminds that jobseekers should not pay agency fees to their EAs until they are successfully emplaced with an employer. The agency fee cap of no more than 2 months of salary is also applicable to the overseas job placement.

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