Generative AI fuels surge in sophisticated job scams targeting US job seekers
Generative AI is fueling a dramatic surge in employment scams targeting US job seekers. From May through July 2025, employment-related scams jumped over 1,000 percent, with victims reportedly losing an average of $1,471 per scam and $12 billion total reported lost to fraud.
What happened
Employment-related scams exploded online from May through July 2025, jumping over 1,000 percent during a period when new graduates typically search for jobs, according to McAfee. Fraudsters posed as real recruiters and created fake job listings with legitimate-looking recruitment processes including fake interviews, offer letters, and detailed PowerPoint presentations outlining roles, budgets, and performance targets.
One victim, a 37-year-old from Oregon, received a purported job offer from a Chinese sportswear brand after a two-week elaborate recruitment process. During an onboarding meeting, she was instructed to purchase a laptop and cellphone from a designated retailer herself, with promised reimbursement in her first paycheck.
Reported impact
Nearly 1 in 3 Americans report receiving job offer scams via text message. McAfee's research shows victims lost an average of $1,471 per scam, with $12 billion reported lost to fraud, representing a 21 percent increase compared to the previous year.
Index analysis
Experts attribute the surge in employment scams to a combination of factors including a cooling labor market where people urgently compete for fewer opportunities, and a boom in generative AI that has made these schemes more sophisticated than ever. Scams have moved beyond email into daily text message conversations.
Classification
Sources and evidence
This record was researched and written by the Index, based on the following original reporting.