BBB employment scams study reveals soaring numbers | Cedar Rapids Business News, Iowa City Business News


Job hunters tricked into handing over thousands of dollars are being lured with a new tactic: task-based scams, in which they are offered high pay to “like” and “subscribe” to videos online.

Over the last three years, nearly 50,000 people reported to BBB Scam Tracker after falling victim to an employment scam. Reports exploded in 2025, doubling over the previous year. BBB received hundreds of reports of task-based scams in which fraudsters impersonated popular companies.

In the new study, BBB’s International Investigations Initiative examines patterns of reports, reviews the amount of money lost, and shares stories from those caught up in the scams so consumers can avoid them.

Be wary of job offers that include requests that could lead to ID theft. Some victims reported sending a copy of their driver’s license with their “job application,” which gave scammers their name, address and photo, then shared Social Security and bank account numbers. A BBB report found that 65 percent of fake online job postings are related to becoming a “warehouse distribution coordinator” or a similarly titled position involving package reshipment.

Key findings• Over 600 reports to BBB about employment scams were “task-based”

• Job scams conducted over text messages exploded in 2025, making up half of all reports

• Employment scams are rising, despite extensive public information about this type of fraud

• Median losses shrank since 2023 but remain high at $1,000. In 2023 10,348 employment scams were reported; 23,234 were reported in 2025

What are red flags of employment scams?

• Unprompted job offers

• Jobs offered without an interview

• Too-good-to-be-true salaries

• High-pressure offers to take a job immediately

• Interviewers refuse to turn on camera

• Payment to like or subscribe to videos online

• Charges or taxes to withdraw money already earned

• Upfront costs to begin work

• Business sending a large check for supplies

How to avoid employment scams

Do research on companies offering jobs. If someone contacts you out of the blue, try to find a job posting on the company’s official website.

Never pay money to get a paycheck. No legitimate job will ask for tax payment or any other fee to “unlock” funds already earned.

Avoid jobs that pay to watch videos, like them or subscribe to a channel. In nearly every case, this will be a scam.

Always use video in an interview if possible. If an employer offers a job without an interview, be wary.

Scrutinize job offers of exorbitant pay with minimal work. The pay is enticing and too good to be true. The “employee” will not be paid and could inadvertently engage in criminal activity.

Since 2021, the BBB has outlined ways consumers and businesses can avoid scams and significant monetary loss. Previous studies examined business scams, online gambling, vehicle purchases, identity theft and more. Visit bbb.org to check out a business or register a complaint, or BBB Scam Tracker to report a scam.

Bobby Hansen is regional director for the Better Business Bureau Cedar Rapids office. Comments: (319) 365-1190; info@dm.bbb.org



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