Employment scams are on the rise, and your business may be part of one without your knowledge. Scammers knowingly include unsuspecting businesses in their scams by making them decoys. Scammers recruit applicants for non-existent jobs at a business through email, text messages, online classified ads, job posting websites, or personal messages on social media. The scammers then pose as job recruiters. They offer a position to a job seeker at a business that has no knowledge of the scammer’s fake job offer to a job seeker and may not even be seeking job applicants.
Job applicants are asked to provide their bank account information, so that the scammer can deposit money into their bank account. The scammer then tells the job applicant to withdraw a portion of the money deposited and send it back; scammers often ask that it be converted into cryptocurrency. The scammer then tells the job seeker to keep the remainder of the money as a bonus or compensation. Of course, shortly after the job seeker sends the portion of money requested back to the scammer, the check initially sent to the bank by the scammer bounces, leaving the job seeker at a loss.
A business may become aware of the scam when the job seeker reaches out to determine information about the bounced check and the position the job seeker believes the business offered. This contact is often disconcerting to the business since the business has yet to learn of the above described transaction nor any job offer made to the job seeker.
What actions can a business take against scammers?
The business may report a scam job listing to the Federal Trade Commission (“FTC”) Report Fraud Website, or suggest to the scammed job seeker to report it. If the business decides to report the scam to the FTC, the employer should gather as much information as possible about the fraud from the scammed job seeker. The report should include the following:
- The scam is related to a job
- The pretend identity of the perpetrator
- Whether any payment was sent to the scammer, how much, and how it was made
- How the job seeker found out about the job listing
In addition to filing a report with the FTC, if the business becomes aware that a job search platform was used to post a fraudulent job listing, the business may want to make a report to the job listing platform. The platforms may have a better idea of who planted the fraudulent job listing.
TAKEAWAY: If you are an employer whose business has been the victim of a scam and need help dealing with the aftermath or with any other employment laws, contact Stephanie Gironda or any member of the Wilentz Employment Law Team.
The postings on this blog were created for general informational purposes only and do not constitute legal advice or a solicitation to provide legal services. Although we attempt to ensure that the postings are complete, accurate, and current as of the time of publication, we assume no responsibility for their completeness, accuracy, or timeliness. The information in this blog is not intended to create, and receipt of it does not constitute, a lawyer-client relationship. Readers should not act upon this information without seeking professional legal counsel.
This blog may contain links to independent third party websites and services, including social media. We provide these links for your convenience, and you access them at your own risk. We have no control over and do not monitor the content or policies (including privacy policies) of these third-party websites and have no responsibility for, and no liability with respect to, their content, accuracy, or reliability. Unless expressly stated, we do not endorse any of the linked websites or any product, service, or publication referenced herein or therein. We will remove a link to any site from this blog upon request of the linked entity.
We grant permission to readers to link to this blog so long as this blog is not misrepresented. This site is not sponsored or associated with any other site unless so identified.
If you wish for Wilentz, Goldman & Spitzer, P.A., to consider representing you, please obtain contact information from the Contact Us area of this blog or go to the firm’s website at www.wilentz.com. One of our lawyers will be happy to discuss the possibility of representation with you. However, the authors of Wilentz blogs are licensed only in New Jersey and/or New York and do not wish to represent anyone who viewed this site in a state where the site fails to comply with all laws and ethical rules of that state.