What an Agency May and May Not Charge
6 min read · updated August 2026
The provision
Section 58(2) of Act No. 435/2004 Coll. on Employment: an employment agency arranging employment for a fee may not require payment from the natural person for whom the employment is being arranged.
That is the whole rule and it does not have a workaround. The agency's income comes from the employer. You are not the customer.
Breach is an offence under Section 140 of the same Act, in the general clause covering mediating employment without a permit or otherwise breaching the Act or good morals in the course of placement. The fine reaches 2,000,000 CZK and is imposed by the Labour Inspectorate. Separately it can trigger revocation of the agency's licence.
We could not confirm a dedicated sub-paragraph in Section 140 specific to the fee prohibition, so we cite the general offence clause and its ceiling rather than a narrower reference.
Why the rule exists, and why it is not obvious to everyone
If you have worked in the Gulf, or if your family has, worker-paid recruitment fees are simply how it works. Paying an agent several months of future income to secure a job is the normal shape of the transaction, and people arrive at the European market carrying that assumption with them.
Operators know this. It is the single most exploited assumption in the Indian and Nepali corridors, and the prosecuted cases run on it: the victim is not tricked into believing a fee is legal, because they already believe fees are normal.
Unlearning that assumption is worth more than any other single piece of information on this site.
The line between a cost and a fee
One test, and it is reliable: who receives the money, and what for.
| Payment | Paid to | Legitimate? |
|---|---|---|
| Consular fee | The embassy | Yes — a state charge, published, receipted by the embassy |
| Apostille or superlegalisation | Your foreign ministry or the embassy | Yes |
| Police clearance certificate | Your national authority | Yes |
| Medical certificate | A clinic | Yes |
| Certified translation | A translator | Yes |
| Flight | An airline | Yes |
| Accommodation deduction | The employer, from your wage | Yes, if stated as an amount in the contract before you sign |
| «Placement fee» | The agency | No |
| «Processing fee» | The agency | No — the same fee renamed |
| «Registration fee» | The agency | No |
| «Deducted from your first salary» | The agency | No, and worse — it ties you to the job while you work it off |
| «Deposit, refundable on arrival» | The agency | No |
Every legitimate line produces a receipt from the authority or provider, not from the agency. That is the check.
The escalation pattern
Worth recognising because it is the same in almost every prosecuted case.
It starts small — a registration fee of a few thousand rupees, framed as covering paperwork. The amount is deliberately low enough not to trigger caution. Then the original passport is taken, ostensibly for processing. With the passport held, the demands escalate: medical, visa processing, employer deposit, expedited handling. Each one is small relative to what has already been paid, which is exactly why people keep paying.
In the Mumbai Star Man Power case, 180 people paid between ₹30,000 and ₹2.5 lakh each. In the Delhi Sky Visa Venture case, ₹80,000 to ₹3.5 lakh. In the Kerala case, ₹3 lakh for warehouse work in Croatia that turned into six months in Armenia with no job.
The intervention point is the passport. Never let the original leave your hands without a receipt, and preferably never at all. Everything after that is harder.
If you have already paid
- Get your passport back first. Before argument, before complaint, before anything.
- Write down dates, amounts, account numbers and names while you remember them, and keep every message.
- Check whether they were licensed — mea.gov.in/ras in India, data.mpsv.cz in Czechia. The answer changes which complaint route is open.
- Report it to the Protector of Emigrants through eMigrate, and to the police. Late reporting is the recurring failure in every case file.
- Tell whoever handles your next application what happened. It affects which documents you need and whether your passport is compromised.
We will look at paperwork you were given by someone else, free, whether or not you end up working with us. It takes ten minutes and it has saved people several lakh.
Sources
Every figure on this page comes from one of these. Where a fact could not be verified, we left it out rather than estimating.
Frequently asked questions
Can a Czech employment agency charge me a placement fee?
No. Section 58(2) of Act 435/2004 Coll. prohibits requiring payment from the person for whom employment is arranged. Breach carries a fine up to 2,000,000 CZK and can cost the agency its licence.
What about a processing or registration fee?
The same fee under a different name. The test is who receives the money and for what — legitimate costs go to authorities and providers and produce receipts from them.
Is an accommodation deduction legal?
Yes, if it is stated as an amount in your contract before you sign. It is a housing cost, not a recruitment fee. If it appears without having been agreed in writing, ask for it in writing.
Can the fee be taken from my first salary instead?
No, and it is worse than paying up front, because it binds you to the employer while you work it off. That is the mechanism that turns a job into something else.
Why do agencies in my country charge, then?
Because in several recruitment corridors worker-paid fees are normal, and operators rely on you carrying that assumption to Europe. In Czechia it is prohibited.
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