As if the job market wasn’t tough enough, now job seekers must compete with con artists using stolen identities, AI and deepfake techniques to get hired.
Even technology companies can fall for the scams. Pindrop Security, a company that helps detect fraud in voice interactions, has encountered such situations firsthand.
The company shortlisted a candidate named ‘Ivan’ for a senior engineering position and set up a video interview.
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But as the CEO Vijay Balasubramaniyan shared with CNBC, something felt off during the video interview.
The candidate’s facial expressions didn’t quite match his voice. Turned out Balasubramaniyan’s gut feeling was right. The person on screen was using deepfake technology to conceal his own identity by using someone else’s face.
The Pindrop team caught it. But not everyone that’s hiring a worker remotely has the same expertise or technology to root out fraud.
“We are no longer able to trust our eyes and ears,” Balasubramaniyan said. “Without technology, you’re worse off than a monkey with a random coin toss.”
The tricks of the deepfake trade
Fraudulent candidates now use a range of generative AI tools to scam their way through nearly every part of the hiring process.
AI can fabricate photo IDs, generate polished LinkedIn profiles and even simulate real-time answers in video interviews. Some scammers use remote desktops to route their traffic through the U.S., making it appear as if they’re logging in from within the country.
These scammers aren’t just stealing jobs. Once hired, imposters can install malware, steal sensitive customer data or divert money to foreign adversaries — like North Korea.
“Every time we list a job posting, we get 100 North Korean spies applying to it,” said Lili Infante, CEO of CAT Labs, a Florida-based startup related to cybersecurity and cryptocurrency.
The U.S. Justice Department alleges that 300 American companies hired people linked to the North Korean regime. The department says the workers stole American identities to get remote IT jobs and then funneled million to North Korea.
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How AI imposters are affecting the job market
The rise in fake applicants doesn’t just pose a cybersecurity threat. It could slow down hiring across the board.
The cost of Legitimate candidates face longer wait times as companies are forced to double-check résumés, verify identities, and flag suspicious activity. These delays drive up costs.
Some companies are turning to third-party verification services like Jumio, Socure, and iDenfy. Others, like Pindrop, are developing in-house video authentication tools.
But as deepfake and identity-masking tools improve, experts warn the problem may get worse before it gets better.
The research and consultancy firm Gartner predicts that by 2028, one in four job candidates globally will be fake.
“Folks think they’re not experiencing it,” said Ben Sesser, CEO of BrightHire, an HR tech company, “but I think it’s probably more likely that they’re just not realizing that it’s going on.”
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Danielle is a personal finance writer whose work has appeared in publications including Motley Fool and Business Insider. She believes financial literacy key to helping people build a life they love. She’s especially passionate about helping families and kids learn smart money habits early.
