How to Spot Remote Job Scams to Safeguard Your Data

What are remote job scams?

A remote job scam is a type of recruitment scam that specifically targets individuals who are seeking remote work opportunities. They often involve fraudulent job postings or unsolicited emails that promise attractive work-from-home jobs, flexible hours, and high salaries, among other perks.

McKinsey's American Opportunity Survey reported that when people are offered the opportunity of flexible working (remote or hybrid), 87% of them take it. In doing so they can benefit from the flexibility to fit work around busy home life and save money on the commute. On the flip side, mass layoffs, especially in the tech sector, mean more and more job seekers.

With more companies and individuals embracing remote work arrangements and a growing pool of job seekers, remote job scams are on the rise.

How do remote job scams work?

Scammers use various tactics to trick job seekers into providing personal information or paying for non-existent job opportunities. They may post fake job ads online, send unsolicited emails, or contact individuals on social media platforms such as LinkedIn.

Once the victim shows interest in the fake job opportunity, the scammer will often ask for personal information such as their social security number, bank account details, or passport information, claiming it's necessary for the application process. In some cases, they may also request payment for job placement or training fees. This is an instant red flag— legitimate employers will never ask for money from an applicant.

Scammers may also impersonate legitimate companies or recruiters to gain the trust of job seekers and steal their personal information. Most people already trust real recruiters and job sites with a great deal of information- a person's resume contains full names, email addresses, contact telephone numbers, and possibly a physical address. A fake recruiter will ask for more.

Often remote job scams involve phishing attempts or malware infections. In fact, cybersecurity firm, Egress reported a 232% increase in email phishing attacks which are impersonating LinkedIn in a two-week period in February 2022.

Examples of real-life remote job scams

Today's job scam ads are a form of sophisticated deception. It is often impossible to discern between legitimate listings and fake listings, and they are often on reputable job sites.

Remote job scams are easy for scammers to set up as they don't require much capital to implement. It's not like they need a physical office populated with employees! They can easily fake a virtual company with just a few email addresses and a fake website.

But some of them really go to town in creating a very believable facade.

As was the case for digital marketing specialist, Gustavo Miller. Miller wrote a LinkedIn post telling of his experience of falling for a remote job scam.

Miller first received a cold email from a “recruiter” claiming to work for the cryptocurrency exchange Coinbase. The email originated from BambooHR, a legit HR platform, and came to him via his profile on a recruitment site.

After an online interview, he was sent a job offer for a remote contractor role the next day. Before making a decision, Miller took his time to research the recruiter and the company, checked their LinkedIn credentials, and spoke with friends who worked in the crypto industry.

Everything checked out, so he accepted the offer and signed the contract.

But it wasn't long before the red flags started to appear.

On day one, Miller logged into the onboarding portal complete with training videos and virtually met with an HR person. But during the training, Miller was requested to buy $200 worth of Bitcoins and transfer the BTC to a Coinbase training account.

Feeling uncomfortable, Miller contacted the recruiter, who cleverly diverted his attention by telling him how to order equipment for his role and directing him to what appeared to be an Insight landing page.

When Miller received an invoice for $3,200, his spidey senses were heightened. On close inspection of the invoice, he noticed subtle changes made to the website address and email address. The penny dropped and Miller realized he was being scammed. He contacted all of the legit sites that were being used in this elaborate remote job scam and wrote his post to warn other job seekers.

What are the consequences of falling for job scams?

Gustavo Miller was lucky that all he lost was his time. Falling victim to a remote job scam can have serious consequences, both financially and emotionally. Here are some of the most common consequences that job seekers face when they fall prey to these scams:

Financial loss

The main aim of any type of job scam is to trick job seekers into providing their personal information or paying for non-existent job opportunities or training programs. As a result, victims can lose significant amounts of money, which can be devastating, especially if they're already in a vulnerable financial position.

Identity theft

Remote job scammers may use the personal information they obtain from job seekers to commit identity theft. This can involve the bad actors opening new accounts, taking out loans, or committing other types of fraud in the victim's name.

Legal problems

Some job scams involve illegal activities, such as money laundering or reshipping scams, which can result in victims unknowingly participating in criminal activities. This can lead to legal problems and even criminal charges.

Emotional distress

Falling victim to a job scam can be emotionally distressing, particularly if the victim has invested significant time and effort in the job search process. With unemployment rising along with the cost of living, the stakes are high. Victims may feel embarrassed, ashamed, or helpless, and may experience stress, anxiety, or depression as a result.

How to avoid remote job scams

As we've just seen, the consequences of falling victim to a job scam can be severe and far-reaching. To avoid these risks, it's essential to be vigilant when searching for job opportunities and to take steps to protect your personal information and financial well-being.

Here are ten tips on how to avoid job scams and protect your personal data:

1. Research the employer and job opportunity thoroughly before applying. Check the company's website, social media pages, and other reputable sources to ensure that the job offer is legitimate.

2. Be cautious of unsolicited job offers or recruitment emails from unknown sources. Legitimate employers usually don't reach out to job seekers through unsolicited messages. Coinbase, which was faked in the above example, has a job scam warning on its website and states that legitimate job postings will only ever be posted on its careers page.

3. Never provide sensitive personal information, such as your social security number or bank account details, before verifying the legitimacy of the job offer.

4. Be wary of job offers that require you to pay money upfront, such as application fees, training fees, or background check fees. Legitimate employers usually don't require payment from job seekers.

5. Beware of job offers that promise high salaries or unrealistic benefits. If it sounds too good to be true, it probably is.

6. Look out for poor grammar and spelling errors in job postings and emails.

7. Use job search platforms and websites that have a reputation for security and privacy, and ensure that your personal information is protected.

8. Protect your personal information by using strong passwords, enabling two-factor authentication, and avoiding using public Wi-Fi when conducting job searches or sending sensitive information.

9. Be cautious of job offers that require you to download or install software or applications, which could be used to steal your personal information or infect your device with malware.

10. Report any suspicious activity or job offers to the relevant authorities, such as the Federal Trade Commission, your state's Attorney General's office, or the Better Business Bureau.

Don't be fooled by remote job scams

Remote job scams are becoming more and more common as more job seekers turn to remote work options and the number of job seekers is also increasing. Scammers are using sophisticated methods to trick job seekers into handing over their personal information or money. Job hunting is never fun, but job scams are making it even more of a chore.

By following the practical tips outlined above, job seekers can avoid falling victim to remote job scams and safeguard their personal data while searching for their dream (real)job.

But those in employment also have their own privacy battles to fight. Check out our article: Is Your Employer Spying on You? The Truth About Bossware