Employment fraud occurs when an employer gets an employee to take a job based upon false pretenses. California Labor Code Section 970 provides additional damages if the employer knows the employee has to move in order to take the job being offered under false pretenses.
Employment fraud is often difficult to prove and maintain in court. False promises need to be specific and knowingly false. At-will language employees sign, or letters sent stating there is no employment contract and previous representations are not to be relied upon are used as shields by employers who made untrue statements.