5 Common Scams You Might Encounter When Looking For A Job
To say that looking for a job is challenging would be an understatement. When you're unemployed, you want to find your next job as soon as possible. Anyone who's been in this unenviable position knows how quickly burnout, frustration, and even desperation can set in after spending days, weeks, and sometimes months scanning job announcements and sending résumés into what often feels like a recruitment black hole. As if that weren't enough, job hunters also have to be on the lookout for scammers who'd like nothing more than to exploit their vulnerability for financial gain.
With the internet having a monopoly on the job search, scammers are almost impossible to avoid, and they are sometimes very good at what they do, which makes detecting their scams exceedingly difficult. These fraudsters will try to charm you and play on your weaknesses, all in an effort to get you to give up your personal information and con you out of your hard-earned cash. According to the Better Business Bureau, "The median dollar loss for employment scams ($1,500) was significantly higher than that of $171 for all scam types." However, the situation isn't hopeless. If you know what to look for, you can avoid getting caught up in a job scam.
Fake job postings on reputable sites
If you're looking for a job, your first stop will most likely be a website like LinkedIn, Glassdoor, or Indeed. These platforms are well-known and considered by many to be among the best websites to join when looking for a job. Given their name recognition, they provide job seekers a sense of security, and many of us know someone who's found a job through one of these sites. However, that doesn't mean they're immune from fake job postings. While most reputable websites have taken steps to eliminate scams, some still fall through the cracks.
One of the biggest clues that a listing is fake is if it's just too good to be true, including high salaries for entry-level roles or benefits that go above and beyond typical expectations. Moreover, fake job listings are often vague and don't go into much detail about what the position entails. There may also be inconsistencies between what's listed in the posting and what you find on the company's official website. If you apply to one of these jobs, the "recruiter" may ask you for your personal details or request payment for equipment, training, or application fees. If you're ever asked for money during the recruitment process, it's best to assume you're dealing with a scam.
Work-from-home scam
If you ask the average person if they'd prefer to work from home or in an office, most would choose the remote work option. As great as this desire is, very few companies are fully remote, leaving many workers competing for limited positions. Job scammers know how appealing at-home work opportunities are and that's why it's one of their go-to tactics when trying to con unsuspecting job seekers. These scams run the gamut from virtual personal assistant roles to data entry.
One of the telltale signs you're dealing with a con artist is they'll promise you lots of money and freedom for little effort. Recruiters for these jobs will often present them as a once-in-a-lifetime opportunity, but there's always a catch — you'll have to pay fees to get started. If you give them your credit card information, they may use it without your permission. Another common scam is sending you a check and asking you to deposit it in your bank account, only to later claim they overpaid you and ask you to return the extra money while keeping what you're owed. The problem is the check is fraudulent, and when it bounces, the bank will come to you asking for the money. When this happens, the scammer will be nowhere to be found, and you'll be out of a lot of money.
Upfront payment for training
We all know that when we start a new job, we'll have to participate in training. Even after being with a company for a while, you might be required to undergo additional training to keep your skills up to date. When you're dealing with a legitimate employer, training will almost always be free. This is because companies view it as an investment in their long-term growth and success. After all, when a company's employees are well-trained, they perform better, are more efficient, and may give the business a competitive edge. It's a mutually beneficial, win-win situation.
When you're dealing with a job scam, things are a bit different. After the scammer offers you a job, they'll tell you that you'll need to pay for training, certification, or special equipment before getting started. You may go through a fake onboarding process, and the company will promise to reimburse you when you've finished training or after a certain period of time. However, once these con artists have your money, the job, training, and equipment never materialize. Some scammers are more sophisticated and will provide you with a login that takes you to what appears to be a legitimate training course. Still, it'll end the same way: no job and you with less money. You should view any job offer that requires you to pay upfront for a chance to work with suspicion and assume it's a scam.
Reshipping and merchandise mule scams
This twist on the work-from-home job scam comes with the promise of easy money in return for receiving packages from the "employer" at your home and simply repackaging and reshipping goods, often to an overseas destination. Examples of this scam are online job postings or emails offering positions like gift wrapper, shipping inspector, or packaging assistant. They're among the most sophisticated scams out there, and they can also be the most dangerous because, unbeknownst to you, the packages you receive may contain items purchased with stolen credit cards.
The reshipping scam helps fraudsters launder stolen goods by creating a layer of separation between them and their criminal activities. The problem is, by helping them out, you unwittingly become an accomplice to their crime. You'll be asked for your personal information as part of the onboarding process, which could lead to identity theft. Once you're involved in the scam as a reshipper or "mule," you could be at risk for legal action for trafficking in stolen goods. You should be suspicious of any job asking you to handle shipping from your home, especially if you're expected to send those packages to another location, domestically or abroad. Also, be wary of jobs that request your personal information upfront or promise to reimburse you for shipping costs, as these are common reshipping scam tactics. Before accepting any employment offer, research the employer thoroughly, and if the job seems too good to be true, it most likely is.
Recruitment for nonexistent government jobs
Working for the government is a dream for many people, so when they come across an employment listing on a job search app for a high-paying job with the federal government or the U.S. Postal Service, it gets their attention. Scammers often impersonate hiring officials from well-known agencies like the FTC or IRS and ask for payment in exchange for processing your application or providing you with training materials. They'll attempt to create a sense of urgency to get you to send money or give up your personal information on the spot.
These scams are easy to avoid if you know that legitimate government jobs will never require payment for job applications, training material, or exams. You can protect yourself by only applying for government jobs through official sites, like USAJobs or the USPS Career Page. If you still have questions about whether a job offer or listing is legitimate, it's best to contact the government agency directly. You can also report suspected job scams to the FTC or your state attorney general to help prevent others from being victimized.