ESD might cancel benefits for refusing MLM job - help needed ASAP!
I messed up and now I'm panicking about my unemployment benefits. I just got 'hired' by what I thought was a real insurance company (AO Global Life Insurance), but it's clearly an MLM scheme. They're even facing a class action lawsuit! They had me pay for my own Life & Health Pre-licensing course right after hiring and scheduled my exam. The red flags are EVERYWHERE. In my weekly claim, I already reported that I was hired and in a training program with them. But now I absolutely don't want to continue - I'm not getting sucked into some pyramid scheme that could leave me in legal trouble. I'm terrified ESD will say I refused suitable work and cancel my benefits. Has anyone dealt with something like this? Can I explain this was a sketchy MLM job without getting my benefits cut? Please help!
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Olivia Evans
omg this happened to my cousin last year!! she got 'hired' by some health supplement MLM and almost lost her benefits when she quit. you need to call ESD ASAP and explain the situation before they make a determination against you. don't wait for them to find out another way!!!
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Daniel Price
•Did your cousin manage to keep her benefits? I'm going to try calling ESD tomorrow but I know how impossible it is to get through to them.
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Sophia Bennett
MLM jobs aren't considered "suitable employment" by most state unemployment agencies because they're basically self-employment with no guaranteed income. If they made you PAY for training, that's a huge red flag that ESD should recognize. Document everything, especially the requirement to pay for your own training.
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Aiden Chen
•This is 100% correct. I worked at ESD for 4 years and we NEVER considered MLM/pyramid scheme positions as suitable work. The key is getting through to an agent who understands this distinction before a determination is made. Good luck!
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Zoey Bianchi
I've been trying to reach ESD for 3 weeks about a different issue and keep getting hung up on due to "high call volume" 🙄 So frustrating!! Have you tried using Claimyr? It's this service that helps you skip the phone queue and get connected to an actual ESD agent. I was skeptical but it worked for me last month. Check out their video demo: https://youtu.be/7DieNd3C7zQ?si=26TzE_zGms-DODN3 Their website is claimyr.com - definitely worth it for something time-sensitive like your MLM situation!
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Daniel Price
•Thanks for the recommendation! I just watched the video and it looks like exactly what I need. Going to try Claimyr tomorrow morning since I'm desperate to talk to someone before they make a determination on my claim.
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Christopher Morgan
Ive been on uneployment 3 times and heres the deal: you gotta DOCUMENT EVERYTHING. save emails, texts, anything showing they made u pay for training. when u talk to ESD, use specific terms like "unsuitable work" and "misrepresentation of employment" - those are trigger words for them to investigate before denying benefits. dont just say "i dont wanna work for a scam" make it CLEAR this was not legit employment.
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Aurora St.Pierre
•This is great advice. I would add that if they do end up disqualifying you, immediately file an appeal! You have 30 days to appeal any ESD decision, and the appeal judges are generally more understanding about these nuanced situations than the initial claims processors.
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Grace Johnson
Anyone making you PAY to work for them is a scam, period. ESD knows this. You should be fine as long as you report it promptly. BTW - I looked up AO Global and found some serious complaints from former agents. They make almost all their money from recruiting others, not from selling insurance. Classic MLM structure. Good call getting out early!
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Daniel Price
•Thanks for confirming my suspicions. I was starting to doubt myself and wonder if I was just being paranoid! I've gathered screenshots of the complaints and lawsuit info to show ESD.
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Sophia Bennett
One important thing: when you report this to ESD, you need to specifically mention that this was a "commission-only MLM position requiring upfront investment with no guaranteed income" - that exact phrasing will help your case. Under RCW 50.20.080, suitable work must include reasonable wages and working conditions. An MLM requiring you to pay them first doesn't qualify.
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Daniel Price
•Thank you SO MUCH for the specific legal reference! I'm writing this down to use when I talk to them. This makes me feel much more confident about explaining my situation.
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Aiden Chen
Please update us after you talk to ESD! I'm in a similar situation (different company but also MLM-ish) and I'm worried about my benefits too. Hoping your case goes well!
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Daniel Price
UPDATE: Finally got through to ESD this morning using Claimyr (thanks for that recommendation, it actually worked!). The agent was super understanding once I explained it was an MLM requiring me to pay for my own licensing. She noted in my file that this wasn't suitable employment and said I should continue filing my weekly claims as normal. Such a relief! She said they see this kind of predatory recruiting all the time with these companies targeting unemployed people.
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Olivia Evans
•That's awesome!! So glad it worked out! These MLMs are seriously predatory targeting people who are already struggling financially.
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