Employment Services Industry Licensing Guide
Texas Employment Agency
Licensing requirements for Texas employment, staffing and talent agencies.
This page provides an overview of employment services licensing in Texas for individuals and agencies. You will find state requirements, application fees, filing instructions, and more. For assistance with licensing, please contact us to learn about our software and managed license services.
Companies that provide employment services in Texas must apply for a license prior to doing business. Depending on the services offered, businesses may need to apply for more than one license type, and in some cases, an individual license will be required as well.
Texas Employment Services Company Licenses
Companies acting as employment agencies in Texas must obtain the following licenses before offering employment services. Applications usually require proof of incorporation or a certificate of authority.
Texas Employment Agency License
In addition to employment agency licenses, some states also offers a license specific to talent agencies. Applications usually require proof of incorporation, and out of state employment firms must qualify as foreign entities with the secretary of state prior to obtaining a license.
Texas Professional Employer Organization License
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$300 for employers with 249 or fewer employees, $450 for employers with 250-749 employees, and $700 for employer with 750 or more employees.
Texas Talent Agency License
Employee Leasing Company - Enter into leasing contracts with other businesses that require labor. The leasing company loans its workers to the lessee while still providing specified responsibilities, such as workers compensation insurance, to the employees. This includes long term (6 months or more) temporary arrangements but often excludes temporary help arrangements. Unlike professional employer organizations, employee leasing companies are contracted when an employer needs to hire staff and does not want to handle human resources responsibilities.
Employment Agency - An entity that, for compensation, procures or attempts to procure employment for a person.
Professional Employer Organization - PEOs take on the human resources role for businesses and act as a co-employer in the sense that the client company's workers are administratively employees of the PEO but functionally these employees are controlled by the client company. Unlike employee leasing companies, PEOs are contracted when an employer already has staff and does not want to handle human resources responsibilities.
Staffing Agency - An entity that procures temporary or part-time employment for a person who then works under the supervision of a worksite employer.
Talent Agency - An entity that, for compensation, procures or attempts to procure employment or placement for an artist. (Certain art forms are excluded)
American Staffing Association
Staffing, recruiting, and workforce solution industry advocacy group.
National Association of Personnel Services (NAPS)
Education and training oriented association for personnel services providers.
National Association of Professional Employer Organizations
Provides advocacy efforts, information, and other services to members of the employment industry.