November 10, 2008

How much would you pay for a job?

Filed under: Job Search,Stuff I worry about

I never cease to be amazed at the scams sophisticated professionals fall prey to. But when you’re looking for a job, any help is welcome. People want to believe that if help costs a lot of money, it must be good help. Think again. I’d like to share some e-mails between a reader and me. (I’ve blocked out the names because, as you’ll see, the names don’t really matter.)

A reader asked: Do you have experiences with [XXX Enterprises] in Atlanta, GA? They are in the “executive marketing” business and say they can help me land a good job. They want $2,400 down and $2,400 in the next 6 months for a one year contract, with a guarantee. They claim to have their own list of people that they have placed inside of local companies, and that for the most part they use these to get recommendations and, of course, interviews. And, yes, they will re-write my resume, put me through interview rehearsals and use their skill at going through the Atlanta business databases for companies that would hire someone like me. Sounds good… but…

I responded: Get three references from them: people they have placed. Three more: managers who have hired their clients. Call them all. The firm’s claim implies the people they have placed hire multiple new clients from them. It’s a kind of a ponzi scheme. My bet: They will never give you references. It sounds good, yah. But, check the references before you give them a check. Is the guarantee of the “money back” variety?

The reader did what I suggested and wrote back: Thanks for the suggestions. I’ve asked for references and a copy of the contract with the guarantee. I am waiting for a reply. Meanwhile, I’m reading your advice online.

I offered a little more advice to this job hunter: It could be difficult to confirm that the references are legit. If the employer references are managers, talk to them, then call the HR dept at each company. Be frank with them. Ask HR to confirm the hires and their satisfaction. Sorry to be such a downer, but the career-management business has become a real racket. It costs little to start one of these outfits. It seems the courts can do little to stop them from shutting down one operation and re-opening under another name just down the street. So the obvious other step is to Google the owners, not just the firm name. You may find the owners started their racket elsewhere, with bad press in their wake.

It was that last bit of advice that saved this reader $4,800.

He sent me this final note: This was the reply I got from [XXX Enterprises]: “We will prepare an agreement for you to review tomorrow. Please take a look at the success stories on our website. Providing personal contact information would violate the rules of confidentiality and privacy which we provide our clients.”

The “success stories” are listed by client number (0020100 and so on), hardly legitimate references. And the corporate managers or companies they worked with? Nowhere. The Better Business Bureau notes the business was started in 1977. The website states 1986. There were four consumer cases against [XXX Enterprises] with the Atlanta BBB. Three were closed administratively, as the BBB felt the complaints could not be resolved through them or through mediation.

Although the [XXX Enterprises] website states the owner, [Mr. Z], has been interviewed by several national cable networks of note, I can’t find any references on Google or Yahoo. What did show up, interestingly enough, is that the address for [XXX Enterprises] is the same as a former business for one Bernard Haldane, with whom you are familiar. I then found an article that used a quote from “[Mr. Z], Atlanta-based regional President for Bernard Haldane Outplacement…” You’re right: They change the company name, keep the game going. Oh, well. Thanks again for walking through this with me.

I love it when the Executive Marketing Rackets lose a customer. Don’t get desperate in this lousy economy, and don’t get taken for thousands.

10 Comments on “How much would you pay for a job?”
By Lawrence Spritzer
November 11, 2008 at 12:06 pm

This story was familiar.
I was called downtown in Dallas for an interview from what I thought was a local headhunter. The offices were very grand in design. Turned out they wanted money up front and “Guaranteed” to place me in a job $20-40K more than I was expecting.

Thanks to your earlier columns I didn’t bite, and the interviewer must havwe become aware of this. He gave me a folder with a questioneer I never bothered to fill out, but keep as a reminder.

By John
January 25, 2009 at 5:13 pm

ever hear of a private company requiring you to buy shares in the company in order to get the job? i’m not talking about a small company either. on a pretax basis the amount they asked for was over 20% of the salary.

By youme
July 29, 2009 at 1:54 pm

Thanks for putting this blog up. I just came from an interview exactly at this place in Atlanta, Ga and they asked for $2400 upfront and $2400 later. I was wondering why they were asking so many personal questions it felt strange to me. My husband told me it’s a scam and he wanted to call and curse them out I told him, the guy thought I was young and stupid and born yesterday. I can’t believe there are crooks like this in this economy trying to take advantage of people. Thanks again :)

By Nick Corcodilos
July 29, 2009 at 2:33 pm

@youme: You’re welcome.

By Michelle
January 3, 2010 at 4:32 pm

Does anyone have any experience with Resume Not Required in Vienna, Va?

By Theuns Visagie
July 13, 2010 at 8:54 am

I applied for a job some time ago with abovementioned company. After some time they again asked for my cv, which I sent. They recruited Safe tour Travels in China to prepare my Work permit, Resident Permit, Clearance permit and service fee for a total of USD 720. I Paid in good faith, having studdied Delmar Construction Job offer. Now they want a futher payment of USD 1480.00 for Visa approval endorsement, Work/resident/apporval endorsement, clearance approval endorsement,job warrant approval endorsement. Can it cost so much for working in China?

By Nick Corcodilos
July 17, 2010 at 8:37 pm

@Theuns: I am not an expert in the China job market or in business practices there. But it seems fishy to me when an employer dangles a job offer and expects the job candidate to pay the fees necessary to work in the country. I’ve placed foreign nationals in other countries – and in every case, the employer process and pays all costs related to relocation and work permits.

By Pascale
August 24, 2010 at 12:46 pm

I have been contacted by The Voyager Group after posting my resume on-line. They ask for $4,500 up-front…They look legit but it is a lot of money! Anyone had any experience with them?

By Nick Corcodilos
August 24, 2010 at 2:04 pm

@Pascale: I don’t know that firm and I have no comments about them.

But I don’t believe in paying anyone to find you a job. Check this before you spend your money:

http://www.asktheheadhunter.com/gv010822.htm

By Scams & Schemes in Work and Employment Services « Almost Humor!
September 1, 2010 at 6:48 pm

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