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The Honourable Minister of Human Resources had approved the establishment of NHRC at Pembangunan Sumber Manusia Berhad (PSMB) on 6 June 2011.
 
The establishment of the centre was one of the recommendations by the National Economic Advisory Council (NEAC) in the New Economic Model Report – The Concluding Part as it recognises the need for a comprehensive reform programme to address the issue of human capital development, which serves as a key enabler for both the Government Transformation Programme (GTP) and Economic Transformation Programme (ETP).
 
The purpose of the NHRC is to provide strategic Human Resource (HR) support to all SMEs to drive both workforce transformation and workplace transformation. The centre will act as an effective HR department with a strong focus on strategic and change management processes.