Commission-Only Bait Job Scam
Fake employers advertise salaried positions but switch candidates to an unpaid commission-only model after hiring, often after the candidate has already resigned from a previous role.
Last reviewed: 1 June 2026
What this scam is
Commission-only bait job scams advertise positions with an apparent salary or hourly wage. After the candidate applies, is interviewed, accepts an offer, and resigns from their existing role, they discover that the compensation is entirely commission-based — meaning income is only earned if sales targets are met, and the targets are typically unachievable.
Some variants do not involve a scam in the traditional sense of financial theft. Instead, the harm is the candidate's loss of their previous employment, the time invested in a role that generates no income, and in some cases the purchase of training materials or starter kits required to begin.
At their most exploitative, these operations pressure workers to recruit others and function similarly to multi-level marketing schemes, with income dependent on building a downline rather than direct sales.
How it works
The advertisement on a job board or social media describes the role as a paid position with a base salary, performance bonuses, or a listed hourly rate. During the interview, the role is described enthusiastically with income examples from top performers.
The employment contract, when examined closely, describes a commission-only structure in fine print. New hires may be required to purchase a starter kit, training materials, or a mandatory introductory course. After joining, employees discover that the products are difficult or impossible to sell at the described margins, and that income from the role effectively does not exist.
Some operations turn over employees rapidly, profiting from starter kit sales and replacement hiring rather than from the products ostensibly being sold.
Why this scam works
The advertisement legitimately appears on trusted job boards. The interview is encouraging and the income potential seems genuine. By the time the true terms are apparent, many candidates have already made decisions based on the expected income — including resigning from previous employment. The sunk cost of the application process creates pressure to proceed rather than withdraw.
Common red flags
- Job advertisement states a salary but interview describes 'unlimited earning potential' instead
- Contract refers to OTE (on-target earnings) rather than a guaranteed base salary
- Requires purchase of a starter kit or training materials before work begins
- The company uses direct selling or multi-level marketing commission structures
- Income examples from top performers are used without showing typical or median earnings
- Urgency to resign from existing job before the offer can be reviewed carefully
- New colleagues are frequently replaced, suggesting very high turnover
Sanitized example messages
Illustrative, sanitized examples. Personal details are replaced with placeholders such as [phone number] and [fake link].
We are hiring motivated individuals for a sales consultant role. Base salary [amount] plus commission. OTE [much larger amount].
Congratulations! We would like to offer you the position. The base is [amount] uncapped and you can expect to earn [higher amount] in your first year.
To begin your onboarding, please purchase the starter kit for [amount]. This covers all the tools you need to start earning immediately.
Your first few weeks will be training only — no earnings during this period, but you will be fully equipped to hit targets from week five.
Common variations
- Direct sales recruitment with deceptive salaried advertising
- Solar panel, insurance, or broadband door-to-door sales with phantom base pay
- Franchise opportunity framed as employment with purchasing requirements attached
How to verify before you act
Ask explicitly: 'Is there a guaranteed base salary, and what is it?' before the interview proceeds. Request the full written employment contract before accepting any verbal offer. Search the company name alongside 'commission only', 'MLM', and 'review' before attending any interview. Legitimate employers will provide clear, written compensation terms without pressure to decide immediately.
Payment methods used
- Required starter kit purchase
- Training material fees
Who is usually targeted
- Recent graduates
- People between jobs looking for stable employment
- Individuals who may not scrutinise contract terms carefully
- Those attracted by high stated income potential
What to do immediately
- Do not resign from your existing position until you have seen and reviewed the full employment contract
- Request a clear written breakdown of the compensation structure before accepting any offer
- If you have already joined, research your employment rights in your jurisdiction regarding misrepresentation of terms
- Report misleading job advertisements to the job board and your national consumer authority
- Seek advice from an employment law advisory service if you suffered financial loss due to misrepresentation
How to prevent it
- Request the full written employment contract before resigning from any existing role
- Clarify the compensation structure in writing at the interview stage
- Research the company on Glassdoor and similar review sites before accepting
- Be wary of any job that requires you to purchase materials or tools before earning
- Understand the difference between a guaranteed base salary and an on-target earning figure
Evidence to preserve
- The original job advertisement including the stated salary
- Offer letter and employment contract
- Records of earnings received versus what was advertised
- Any receipts for starter kits or training purchased
Where to report it
- Action Fraud (UK) — UK national fraud & cybercrime reporting centre
- FTC ReportFraud (US) — US Federal Trade Commission fraud reports
- FBI IC3 (US) — US Internet Crime Complaint Center
- Scamwatch (Australia) — Australian competition & consumer reporting
- Your bank's fraud line — Use the number on the back of your card or in your banking app — never a number the caller gives you
Always verify reporting routes and emergency contacts on the official government or agency website for your country.
Frequently asked questions
Is commission-only employment legal?
In many jurisdictions, commission-only employment is legal if workers meet the legal definition of self-employed or if the contract is transparent. The deceptive element in this scam is advertising a salaried role and switching terms. If you believe you were misled, seek advice from an employment rights advisory service in your country.
I bought a starter kit — can I get a refund?
If the starter kit purchase was a condition of employment that was not disclosed in the original advertisement, you may have grounds for a refund claim. Document the original advertisement, the contract terms, and your purchase. Seek advice from a consumer protection body or employment law service.