How to spot red flags as online scams dupe more Australian job seekers

Australian job seekers already have lost more than $11.5m to recruitment scams this year. These are “huge red flags” a job posting may be fake.

More job seekers are falling victim to online scams, as Aussies desperately look for ways to boost their income amid the worsening cost-of-living crunch.

The nation’s job seekers have already lost more than $11.5m to recruitment scams this year, compared to $8.7m for all of last year, according to the Australian Competition and Consumer Commission’s Scamwatch.

Experts agree the ability to recognise dodgy job offers is becoming increasingly compromised as Australians rush to find higher paying roles, or a second income stream, to make ends meet.

“(This year) is going to get a lot worse, way worse,” says Pete Murray, managing director of data management firm Veritas.

“(Artificial intelligence) is running rampant and … if the tech sector is enabling AI for good, you can rest assured that digital criminals are enabling AI for bad.”

Biggest risk

Most scammers initially target job seekers for small amounts of money, perhaps requesting just $25 to undertake a bogus ID check, Murray says.

Once a scammer gains access to the job seeker’s bank accounts, the damage becomes far greater.

Surprisingly, young people – often referred to as “digital natives” – are the most at risk, Murray says.

“(Young job seekers) are so used to everything happening digitally that they don’t think twice (before clicking on an unscrupulous link),” he says.

“They want the job so what they’re likely to do is apply quickly and put less diligence on (analysing an advertised role’s authenticity).”

Surprisingly, “digital natives” are the most at risk of falling victim to online job scammers, Pete Murray says.

Protect yourself

Despite the threat, Murray says job seekers should not be deterred from using the internet to search for work, warning they may miss out on rewarding opportunities if they only apply for roles advertised offline.

To minimise the chances of being scammed, Murray recommends having two resumes.

One should be devoid of personal details, such as date of birth, address and details of referees, and sent to online recruiters in the first instance.

Murray says a second, detailed resume can be provided later in the recruitment process, once job seekers have assessed that an advertised role is legitimate, “because who needs to know where you live and how old you are in the first round?”

Red flags

Bogus job offers can come via text message, email or through social media and messaging services such as WhatsApp, Randstad NSW director Jo Jakobs says.

She notes fraudsters frequently impersonate recruitment companies, including her own, to contact potential victims about a role, before requesting personal information or payment.

Jakobs says any request for money should be treated as suspicious, noting the cost of conducting background or other checks on a candidate should always be borne by the recruiter.

She says job offers from companies that have no website or official social media page, sent from a “no-reply” email, or written using poor English or with multiple typos and grammatical errors, should serve as red flags, as should any promise to get rich quick.

“If it sounds too good to be true then it probably is,” she says.

“It’s really awful that this is happening. Finding work is such a fundamental human right and to think that people are out there trying to exploit that is really sad.”

Caroline Xi reaches out to her industry network if she is unsure about the authenticity of a job offer.

‘Looks fishy’

Caroline Xi graduated from university last year and, while hunting for work in the design sector, was wary of the potential to be scammed through online job ads.

“I was mostly just keeping an eye on anything that looked fishy or offers that seemed too good to be true,” she says.

“Poor language (in job ads) was also a huge red flag.”

Where Xi was uncertain about the authenticity of a job offer, she reached out to her industry network for help.

“I would just bounce things off them if (a job ad) seemed a potential risk,” she says.

“I have a friend in digital marketing and I sent (one ad) to him and said, ‘Hey, what do you think of this’, and he (said), ‘No, that’s absolutely a scam’.”

Sophisticated

Job seekers should stay alert as fraudsters become more sophisticated, LinkedIn product management vice president Oscar Rodrigues warns.

“With recent lay-offs and fears around economic uncertainties and concerns for job security, we see that scammers are taking advantage of this and increasing fraudulent activities targeting job seekers,” he says.

The warning signs a job posting may be fake:

1. Requests for money and personal details: Trusted employers never ask for payment as part of a job search or ask you to share personal or financial information before you have started the job.

2. Quick money: If a job posting claims to give high pay for little work, look for reviews from previous employees to ensure the job is legitimate.

3. Fast offer: If an employment offer is made after one quick, remote interview, verify the legitimacy of the offer by reaching out to people in your network who may have information on the company and its hiring practices.

4. Encrypted software: Be wary of downloading any encrypted software for a job interview.

5. New LinkedIn profile: New profiles, very few connections or inconsistent work histories can be an indication of fraudulent profiles. Always check the “About this profile” feature on each LinkedIn member’s profile page to see when the account was created and last updated.

Source: Oscar Rodrigues, LinkedIn

Originally published as How to spot red flags as online scams dupe more Australian job seekers