Employer Fraud: What Every Employee Should Know

employer fraud

What You Should Be Aware Of Regarding Employer Fraud

They say honesty is the best policy. That virtue should always be upheld, even when it will get you into trouble. However, sometimes people lie to avoid possible bad scenarios from happening – and sometimes that is related to employer fraud. There are some irregularities that every employee should know about, which could lead to job scams. Let’s take a look.

Phishing Happens

You may have heard of some phishing scams that are very prevalent these days. Phishing refers to when a fake third party can try to reach out to you through means that seem similar to your organization. Such parties can request your financial documentation and even other personal details, which you should not give in to them.

Always enquire if the information you need to give is from your employer. However, it doesn’t give your boss the absolute right to ask for personal information if not stipulated by the law. It doesn’t happen too often as part of employer fraud, but it still does.

Sometimes, Nothing is Going Right

In some situations, businesses can be going downhill. More often than not, the managers will opt to lie to the employees that everything is under control. That is usually far from the truth.

The company could be facing financial turmoil or legal tussles that could put it out of business. However, the leadership decides to conceal the fact from the employees hoping that they will not walk away. Is that considered employer fraud? Well, if you identify such a scenario, weigh the pros and cons of what stands in your way and make the right decisions.

employer scams

Pay Rise Is Impossible

Perhaps you approach your bosses for a pay hike concerning your performance in mind. Sometimes, your boss can decline such a move and instead tell you that your payment is the best compared to other market salary rates.

However, you can shop around inquiring about other people’s salary, relevant to your field, qualifications, and job description. It’s possible to get a pay rise, especially if the company has an excellent financial standing and is not struggling to stay afloat.

Blackmail Is Wrong

Nothing justifies blackmail, whether from your employer or colleague. It goes against the human right to pursue their lives, without the constant fear that someone will retaliate for wrongdoing, should they go against their agreement. For instance, let’s say a case of sexual harassment. Your boss can threaten to fire you or spread rumors about you if you speak up on the misdeed. You can engage a reliable lawyer should such a scenario happen. Your safety in the workplace is essential.

False Hopes on Better Positions

Sometimes, you may feel the need to find greener pastures elsewhere. When your bosses get wind of your move, they may aim to make you not move elsewhere, in the belief that there will be better upcoming positions in the near future. Most times, just opportunities do not exist. Instead, they hope to make you stay as you have become an invaluable asset.

Other times, it could be hiring someone else can be an expensive adventure than keeping you. The folks at Stewart Law Offices say “you should always be on the lookout for such opportunities. If you feel that you need a more challenging experience elsewhere, respectfully tender your resignation, and thank your current employer for the fantastic opportunity to grow while at their organization”.

Clients Make Mistakes Too

A popular business belief is that a customer is always right. While customers play a significant role in how a business will survive, they are sometimes still right. However, customer satisfaction is proper. When a customer belittles you or becomes rude to you even at no provocation, do not let anyone make you believe it is your fault.

Nevertheless, strive to ensure you adequately address the client’s needs. You can explain the scenario to your superiors and let them know that not in any way possible would you jeopardize business knowingly.

Confidentiality Is Not Upheld Always

You may have an urgent situation and opt to share it with your superiors, hoping that the information will not leak elsewhere. You do that in the hope that anything you share stays between the two of you. However, please note that sometimes confidentiality is not always a guarantee. Unfortunately, you may find people discussing your affairs the next day. Having the above in mind, you need to recognize a scam or not – due diligence is necessary. Should the information hold as an employer fraud, make the required decision concerning your current and future stay at the company.

Most importantly, don’t hesitate to seek legal redress if you feel the scam is a beach of your rights as an employee in the organization. Your lawyer will help you charter the best course of action should the need arise.


Employer Fraud: How To Report a Scammer

Let your friends and family know about employer fraud by sharing this article. You can also officially report scammers and any other suspicious activity do it to the FTC  (Federal Trade Commission) using this link:

Report To The FTC Here

How To Protect Yourself More

If you want to be the first to find out the most common scams every week, consider subscribing to the Scam Detector newsletter here. You’ll receive periodic emails – we promise not to spam.

Meanwhile, educate yourself with some other employment fraud-related articles right under this paragraph. Last but not least, use the Comments section below to expose other scammers.

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selma hrynchuk
Selma HrynchukSelma is a fraud prevention specialist renowned for her expertise in private eye investigations and a remarkable partnership with law enforcement agencies. Beyond her investigative triumphs, her public speaking engagements and written works have empowered countless individuals to protect themselves and stay ahead of deceptive schemes. Selma's legacy shines as a tenacious agent of change, unyielding in her commitment to battling fraud and ensuring a safer world for all.

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