Fake Worker Scams Swamp Remote Hires

AI-powered “fake worker” scams are reportedly spreading from the U.S. to Europe.

That’s according to a report Sunday (March 15) from the Financial Times (FT), which says these scams typically involve operatives from North Korea using artificial intelligence to pose as workers, land jobs and earn wages at large companies in the United States and Europe.

These scammers infiltrated more than 300 American companies between 2020 and 2024, taking in at least $6.8 million for the North Korean government, the FT added, citing data from the Department of Justice.

James Collier, lead adviser in Europe at Google Threat Intelligence Group, told the news outlet that scammers are targeting vulnerabilities in recruiting systems, which typically aren’t viewed as a security concern.

“When we had to tell a client that one of their workers was actually a fake North Korean operative, the feedback was ‘are you 100 percent sure, because he’s one of our best employees,’” Collier added.

According to the report, these scams tend to involve stealing someone’s identity, in some cases by hijacking LinkedIn accounts or paying account holders for access. With the help of forged resumes and identity documents — and endorsements from their fellow scammers — the fake workers then use AI to create digital masks or avatars and deepfake video filters to employ during remote job interviews.

AI has greatly enhanced the credibility of these phony job seekers, said Alex Laurie, chief technology officer at cybersecurity company Ping Identity.

“By using large language models, operatives can generate culturally appropriate names and matching email address formats, ensuring that their communications do not trigger linguistic or cultural ‘red flags’ that previously spotted such scams,” he said.

The fake worker trend is another example of the way generative AI has transformed financial fraud, as PYMNTS wrote last year.

“Today’s AI-driven attacks aren’t limited to phish-y emails. Fraudsters now employ voice cloning and deepfake videos to impersonate executives, tricking employees into authorizing large fund transfers,” the report said.

“The accessibility of generative AI tools means that even low-level scammers can produce high-quality forgeries, blurring the lines between genuine and fake communications.”

Research by PYMNTS Intelligence has shown that accounts payable (AP) departments have become prime targets for these advanced fraud efforts. Sixty-eight percent of companies reported encountering at least one fraud attempt in 2024, with AP fraud showing up in various forms, including phishing attacks, account takeovers and invoice fraud.

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