Maha govt presents bill to regulate private placement agencies & protect job seekers

IANS March 24, 2025 120 views

The Maharashtra government has proposed a groundbreaking bill to regulate private placement agencies and protect job seekers from potential exploitation. The Maharashtra Private Placement Agencies (Regulation) Act, 2025 will require mandatory registration for placement agencies and impose strict penalties for non-compliance. The legislation aims to create a more transparent and secure job market by establishing a state-level monitoring authority. This innovative approach seeks to bridge gaps between job seekers, agencies, and employers while preventing fraudulent employment practices.

"The bill aims to provide better collaboration and synergy between government agencies, job seekers, and job providers." - Maharashtra Government Statement
Mumbai, March 24: The Maharashtra government on Monday presented a bill to regulate private placement agencies engaged in the business of placement activities for job seekers and thereby ensure transparency, safeguard the interests of the job seekers and protect them from exploitation and fraudulent practices.

Key Points

1

Maharashtra introduces new law for private placement agency regulation

2

Mandates registration and imposes strict penalties for non-compliance

3

Establishes monitoring authority to prevent job seeker exploitation

4

Proposes job fairs and career guidance initiatives

The Act is called as Maharashtra Private Placement Agencies (Regulation) Act, 2025.

The bill has been tabled considering the enhanced participation of private placement agencies in the placement of job seekers especially when the private agencies have long complemented the traditional employment market and are considered as a catalyst for new forms of Human Resource management services which can be contributors to better job opportunity conditions.

The bill proposes to prohibit private placement agencies from conducting placement activity without a valid registration certificate and provide for cancellation or suspension of registration certificate on the grounds of misrepresentation or suppression of material facts and violation of provisions of the law.

Further, the bill aims to provide for appeals against the order of the Registering Authority, provide for the State Controlling and Monitoring Authority to monitor and supervise the implementation of the provisions of the law and provide for facilitation by local offices to private placement agencies for identification and mobilisation of job seekers.

The bill has proposed punishment for carrying out placement activities by private placement agencies without a valid registration certificate.

Further, the bill proposes the organisation of job fairs, career guidance, counselling workshops and seminars jointly with registered private placement agencies to facilitate placement and to bring better collaboration and synergy between government agencies, job seekers and job providers leading to the matching of skills and providing employment both for domestic and overseas markets.

The bill has proposed imprisonment for a term which may extend to three years and with a fine which may extend to Rs 1 lakh for the violation of the regulation of placement activities as per section 3.

Further, for non-compliance, the violators will be punished with a fine which shall not be less than Rs 50,000 but which may extend to Rs 3 lakh.

In the case of private placement companies if the offence is committed with the consent or connivance or due to neglect of any director, manager, secretary or other officers they would be deemed to be guilty and shall be liable to be prosecuted and punished accordingly.

Tags:
Maharashtra Job Seekers Protection Placement Agencies Employment Regulation Job Market Reform
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