21

An employer has extended a job offer with the condition that I switch my personal banking from one institution to another. They claim that they do this to simplify their internal payroll procedures. I happen to know that such requirements are illegal, and that the employer is required to remain more flexible in regards to how they pay me. How should I proceed?


Some relevant info from OP comments:

[The company has] nothing to do with banking at all

.

I pointed out the guidelines they were supposed to follow when hiring within my state. On a conference call with a V.P. the other day they claimed that, since they have some employees that are outside of the U.S., they are "international" and therefore don't have to obey U.S. law, and that since I'm an individual I should be afraid to pursue this matter with any law enforcement, as they may be able to sue with a counterclaim for wasting their time

.

I've been looking for positions in the same field and discovered there are businesses that appear legitimate but warn they will refuse to hire based on where an employee does their personal banking

OP's Law SE question regarding the legality of the matter
OP's Law SE question regarding how to take action against this employer

  • 4
    Is the employment offer for a position with the bank in question? I once had a job offer with an authorized third party retailer for a major cell phone company that stipulated you switch to their cell phone service within a year of accepting the offer. – Steve-o169 Nov 4 '19 at 17:03
  • 11
    So... they are "international", but cannot transfer money inside the United States without problems? I'd run. – nvoigt Nov 4 '19 at 18:11
  • 2
    @ Joe Strazzere: How about a country lacking these sorts of violations? I've been looking for positions in the same field and discovered there are businesses that appear legitimate but warn they will refuse to hire based on where an employee does their personal banking. This is actually fairly confusing for me, as that makes them look like a scam, but that's a lot of work to go to for a scam. Maybe the bank pays a commission? After some digging online and a question on another Stack Exchange I've found out there is actually a federal agency that wants me to report this kind of violation. – Regional Director Nov 4 '19 at 19:03
  • 9
    Regardless of how this issue is resolved, a company hiring employees in the US that openly claims they do not have to obey US law and threatening retaliation for reporting violations is the biggest of red flags. What other laws do they plan to disobey? Minimum wage? Overtime? Tax withholding and payroll taxes? Workplace safety? Paying you at all? If this is how they treat you before you even start, how do they plan to treat you once you're on the job? Run. – Zach Lipton Nov 5 '19 at 0:59
  • 2
    Also asking for clarification: Are they asking you to switch or open an account? For perspective, here in Japan it's very common for part-time jobs to require an account with X Bank, because that's who their payroll is setup with. Following, it's also common for many people to have accounts with multiple banks – Mars Nov 5 '19 at 1:50
40

How should I proceed?

Politely decline their offer and continue to search for a new company to work for. If the reason for requiring you to switch banks is true, this is indicative of a whole department (arguably the most important for any employee) that doesn't seem to know what they're doing. Definitely not a company worth working for.

  • 3
    Do you feel I have an obligation to see that the laws in question are properly enforced against the employer? – Regional Director Nov 4 '19 at 17:00
  • 10
    @RegionalDirector Do you feel that you have an obligation to see that the laws in question are properly enforced against the employer? That sort of thing is a matter of personal ethics, and somewhat beyond the scope of this stack. – Ben Barden Nov 4 '19 at 17:09
  • 3
    @RegionalDirector That is your call, if you feel strongly enough about this issue to pursue a legal avenue then go ahead. I personally would just move on and be thankful that I dodged a bullet of what looks to be a bad company. – sf02 Nov 4 '19 at 17:31
  • 3
    I'm not certain what the process would even be to enforce the laws against an employer. I've created a question on Law Stack Exchange ( law.stackexchange.com/questions/46142/… ) so that I can get more information on how I could proceed. – Regional Director Nov 4 '19 at 17:34
  • 1
    Money problems tends to change into much bigger problems. The simplest is bankruptcy. The worst will lead to jail. – Nelson Nov 5 '19 at 7:10
25

Most likely a scam, especially if the company is online based. I'd review up to this point how you got the job. Did you go for an interview? Were you hired on the spot? Were all your paperwork done via email/telephone?

This scam is common. A fake company has you do what seems like work, then they "pay" you with a check with very specific instructions like what bank you use, what sort of account to open, to disclose account numbers, how to deposit the check, etc. The scam involves where some banks allow for small cash reserve to be available immediately, especially if you deposit a "pay check" in person. It's a small amount like $100, or $200. The fake company then withdraws this small amount immediately, then you get a bounced check notice. The bank will likely ask (either by courts or by making a bad mark on your credit) that you pay it back since "you" withdrawn it but you didn't and you can't prove it other than showing you deposit what you thought was a legit check.

My advice: don't even answer. Run.

  • 5
    This sounds like a good citizen would inform the authorities as well. – Regional Director Nov 4 '19 at 20:10
  • 2
    Yes, but it's very doubtful this is the person's first time doing this. Chances are the company is real but the scammer is using it as a disguise. The scammer could be anywhere in the world and may be finding all their information just by what is publically available. I would double check if you can by researching online. Maybe even calling the actual company to verify the person works there and that it is their policy to use a specific bank. – Dan Nov 4 '19 at 20:13
  • I have done that. The policy is a real one that exists at the actual business. I actually have another question you can find through my profile about what's going on in specific. – Regional Director Nov 4 '19 at 20:16
  • 2
    All indications to me makes this sound like an elaborate scam. I would be very hesitant in doing business with an "international" company. I don't know if it is purely online based, or if you are going to a physical work site, but I would caution that you should bail out of this and not proceed. – Dan Nov 4 '19 at 20:22
  • 1
    And maybe Call the FBI and Tip off Brian Krebs – Neuromancer Nov 5 '19 at 0:21
6

Advise them that you'll accept their job offer on the condition that they change their bank account to the same as yours.

If they respond with an answer such as "But that's ridiculous, that would be so inconvenient" then respond "Exactly".

-8

In US almost every employment is "At Will".

You have the right to decline it pursuant to your reasons, they have the right to rescind the offer pursuant to their

Especially, if you using different bank will cost company money.

If you really want that position, research the reason behind the switch request and argue according to that.

Weigh your pros and cons.

And be prepared to say NO and walk away from the offer.

  • 1
    I've had an insight that I can delete my comment and ask a related question instead. I will do that. – Regional Director Nov 4 '19 at 18:28
  • @RegionalDirector ok – Strader Nov 4 '19 at 18:30
  • 1
    "At will" empoyment has nothing to do with the original question. – Brandin Nov 5 '19 at 7:40
  • 2
    "At will" doesn't mean being allowed to do illegal stuff. Would you work for a company that does illegal things? – Bebs Nov 5 '19 at 8:46
  • @Bebs Absolutely not, but then its not even a question, OP explained that when he called them up on request being illegal, they made up a excuse. In my book this a red flag and a deal breaker, so no ambiguity and reason for a question, dont you agree? – Strader Nov 5 '19 at 15:09

Not the answer you're looking for? Browse other questions tagged or ask your own question.