Employment-related scams have exploded online (Jim WATSON) <\/p>\n
After a series of interviews, Nicole Becker was ecstatic to receive a job offer from a sportswear brand. But like many Americans navigating a tough job market, she was soon confronted with a sobering reality — the recruiter was a scammer.<\/p>\n
From fake job listings to fraudsters posing as real recruiters, employment scams are exploding online — fueled by a cooling labor market and a boom in generative AI that experts say has made these schemes more sophisticated than ever.<\/p>\n
In July, a purported Chinese brand offered Becker — a 37-year-old based in Oregon — a coveted role to lead global communications after an elaborate and legitimate-looking recruitment process that stretched over two weeks.<\/p>\n
There were no red flags after an initial online interview with a supposed human resources official was followed by a call with someone calling himself the head of marketing and sales.<\/p>\n
Then came the offer letter, accompanied by a detailed PowerPoint deck outlining her assigned role, budget, and performance targets for the first six months. Both parties promptly signed the agreement.<\/p>\n
But a week later, during an onboarding meeting, Becker picked up the first hint that something was amiss.<\/p>\n
She was told that the company’s servers had been destroyed in California’s wildfires. As a result, she would have to purchase a laptop and cellphone from a designated retailer herself, with the promise of reimbursement in her first paycheck.<\/p>\n
“That’s when my heart sank and I was like, ‘oh no, I fell for a fake job,'” Becker told AFP, requesting that her real name be withheld.<\/p>\n
“It is so scary because I consider myself to be a smart and clued-in person, especially with what’s going on with AI and scams in general. If I can get scammed, I feel this can happen to anybody.”<\/p>\n
–\u00a0‘Perfect storm’ –<\/p>\n
Employment-related scams jumped by over 1,000 percent from May through July, a period when new graduates typically search for jobs, according to the US firm McAfee.<\/p>\n
Nearly 1 in 3 Americans report receiving job offer scams via text message, highlighting how “these schemes have moved beyond email into our daily conversations,” McAfee said.<\/p>\n
The firm’s research shows victims lost an average of $1,471 per scam, with $12 billion reported lost to fraud last year, a 21 percent increase compared to the previous year.<\/p>\n
“We’re seeing a perfect storm of factors — a tight labor market, where more people are urgently competing for fewer opportunities, is creating pressure that scammers exploit,”\u00a0Lisa Plaggemier, executive director of the nonprofit National Cybersecurity Alliance,\u00a0told AFP.<\/p>\n
“At the same time, generative AI has made it easier for bad actors to craft convincing fake postings, recruiter profiles, and even interview scripts.<\/p>\n
“The combination means scams are harder to spot, and job seekers, especially first-time applicants, are more vulnerable than ever.”<\/p>\n
Becker’s experience — who immediately ceased all communication with the scammers — illustrates a common scam tactic: fraudsters run a long con, counting on job seekers to let their guard down after clearing a few hurdles in the interview process.<\/p>\n
–\u00a0‘Candidate fraud’ –<\/p>\n
The Federal Trade Commission (FTC) recently warned consumers about “fake check scams,” in which fraudsters pose as employers and send counterfeit checks, instructing victims to purchase equipment from selected vendors.<\/p>\n
“If you get an offer that includes depositing a check and then using some of the money for any reason, that’s a scam. Walk away,” the FTC said.<\/p>\n
Employers are also frequently targeted by scams.<\/p>\n
In July, the FBI warned about North Korean scammers posing as Americans to “gain fraudulent employment and access to US company networks.”<\/p>\n
Further complicating the hiring landscape is the rapid advancement of AI tools, which have made virtual interviews increasingly prone to deception.<\/p>\n
A recent survey of 3,000 job candidates conducted by the American firm Gartner found that six percent admitted to engaging in interview fraud -\u2013 either by impersonating someone else or having someone pose as them.<\/p>\n
The firm estimates that by 2028, one in four candidate profiles worldwide will be fake.<\/p>\n
In response, some companies that initially adopted AI tools to streamline hiring are now reintroducing face-to-face interviews at various stages of the recruitment process to safeguard against fraud.<\/p>\n
“It’s getting harder for employers to evaluate candidates’ true abilities, and in some cases, their identities. Employers are increasingly concerned about candidate\u00a0fraud,” said\u00a0Gartner’s Jamie Kohn.<\/p>\n
Such scams create “cybersecurity risks that can be far more serious than making a bad hire.”<\/p>\n
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