Indeed Forced Arbitration & bundling of consent: Difference between revisions
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'''Indeed''', owned by [[Recruit Holdings]], operates as one of the world's largest job search platforms with '''more than 350 million monthly unique visitors'''.<ref>{{cite web |url=https://www.indeed.com/news/releases/indeed-introduces-specialist-media-networkshelping-employers-reach-more-skilled-professionals-across-industry-specific-sites-to-hire-for-hard-to-fill-roles |title=Indeed Introduces Specialist Media Networks, Helping Employers Reach More Skilled Professionals Across Industry-Specific Sites to Hire for Hard-to-Fill Roles |website=Indeed Press Room |date=2024-01-16 |access-date=2025-09-10}}</ref> The platform had large operational changes in 2024-2025, including laying off over 4,500 employees (2,200 in March 2023, 1,000 in May 2024, & 1,300 in July 2025).<ref>{{cite web |url=https://www.staffingindustry.com/news/global-daily-news/indeed-lay-2200-workers-reports-job-market-poised-continue-cooling |title=Indeed to lay off 2,200 workers, reports job market poised to continue cooling |website=Staffing Industry |date=2023-03-22 |access-date=2025-09-10}}</ref><ref>{{cite web |url=https://www.hrdive.com/news/indeed-layoffs-job-market/716166/ |title=Indeed lays off 1K employees, citing 'global slow-down' in hiring |website=HR Dive |date=2024-05-08 |access-date=2025-09-10}}</ref><ref>{{cite web |url=https://www.cbsnews.com/news/indeed-glassdoor-layoffs-ai-job-search/ |title=Indeed & Glassdoor to lay off 1,300 workers as AI shakes up job search business |website=CBS News |date=2025-07-25 |access-date=2025-09-10}}</ref> | '''Indeed''', owned by [[Recruit Holdings]], operates as one of the world's largest job search platforms with '''more than 350 million monthly unique visitors'''.<ref>{{cite web |url=https://www.indeed.com/news/releases/indeed-introduces-specialist-media-networkshelping-employers-reach-more-skilled-professionals-across-industry-specific-sites-to-hire-for-hard-to-fill-roles |title=Indeed Introduces Specialist Media Networks, Helping Employers Reach More Skilled Professionals Across Industry-Specific Sites to Hire for Hard-to-Fill Roles |website=Indeed Press Room |date=2024-01-16 |access-date=2025-09-10}}</ref> The platform had large operational changes in 2024-2025, including laying off over 4,500 employees (2,200 in March 2023, 1,000 in May 2024, & 1,300 in July 2025).<ref>{{cite web |url=https://www.staffingindustry.com/news/global-daily-news/indeed-lay-2200-workers-reports-job-market-poised-continue-cooling |title=Indeed to lay off 2,200 workers, reports job market poised to continue cooling |website=Staffing Industry |date=2023-03-22 |access-date=2025-09-10}}</ref><ref>{{cite web |url=https://www.hrdive.com/news/indeed-layoffs-job-market/716166/ |title=Indeed lays off 1K employees, citing 'global slow-down' in hiring |website=HR Dive |date=2024-05-08 |access-date=2025-09-10}}</ref><ref>{{cite web |url=https://www.cbsnews.com/news/indeed-glassdoor-layoffs-ai-job-search/ |title=Indeed & Glassdoor to lay off 1,300 workers as AI shakes up job search business |website=CBS News |date=2025-07-25 |access-date=2025-09-10}}</ref> | ||
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===Bundled consent checkbox=== | ===Bundled consent checkbox=== | ||
Indeed employs a bundled consent mechanism during job applications that states: '''"Check this box to receive calls or text messages at the number you provided from employers you've applied to, & Indeed."''' This single checkbox combines two distinct types of consent: | Indeed employs a bundled consent mechanism during job applications that states: '''"Check this box to receive calls or text messages at the number you provided from employers you've applied to, & Indeed."''' This single checkbox combines two distinct types of consent: | ||
* Permission for employers to contact applicants about job opportunities | *Permission for employers to contact applicants about job opportunities | ||
* Permission for Indeed to send its own marketing & platform communications | *Permission for Indeed to send its own marketing & platform communications | ||
[[File:Indeed bundled consent.jpg|alt=Checkbox to agree to receive text messages from indeed AND employers; cannot opt out of indeed text messages while opting into employer text messages.|thumb|Checkbox to agree to receive text messages from indeed '''''AND''''' employers; cannot opt out of indeed text messages while opting into employer text messages. ]] | [[File:Indeed bundled consent.jpg|alt=Checkbox to agree to receive text messages from indeed AND employers; cannot opt out of indeed text messages while opting into employer text messages.|thumb|Checkbox to agree to receive text messages from indeed '''''AND''''' employers; cannot opt out of indeed text messages while opting into employer text messages. ]] | ||
'''This bundled approach prevents users from consenting to employer communications without simultaneously agreeing to receive Indeed's marketing messages'''.<ref>{{cite web |url=https://mslawgroup.com/tcpa-requirements-faq/ |title=TCPA Compliance, Opt-out & Consent Requirements |website=Mac Murray & Shuster LLP |access-date=2025-09-10}}</ref> Legal experts note that "it is impermissible to use a 'marketing partners' list or other technique that bundles consent for multiple sellers into a single consent action."<ref>{{cite web |url=https://mslawgroup.com/tcpa-requirements-faq/ |title=TCPA Compliance, Opt-out & Consent Requirements |website=Mac Murray & Shuster LLP |access-date=2025-09-10}}</ref> | '''This bundled approach prevents users from consenting to employer communications without simultaneously agreeing to receive Indeed's marketing messages'''.<ref>{{cite web |url=https://mslawgroup.com/tcpa-requirements-faq/ |title=TCPA Compliance, Opt-out & Consent Requirements |website=Mac Murray & Shuster LLP |access-date=2025-09-10}}</ref> Legal experts note that "it is impermissible to use a 'marketing partners' list or other technique that bundles consent for multiple sellers into a single consent action."<ref>{{cite web |url=https://mslawgroup.com/tcpa-requirements-faq/ |title=TCPA Compliance, Opt-out & Consent Requirements |website=Mac Murray & Shuster LLP |access-date=2025-09-10}}</ref> | ||
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===Opt-out process=== | ===Opt-out process=== | ||
Job seekers are provided a '''30-day window''' to opt out of the arbitration agreement by sending notice to '''[email protected]'''.<ref>{{cite web |url=https://www.indeed.com/legal?hl=en |title=Terms of Service (Section D.12(l) – 30-Day Opt-Out) |website=Indeed Legal |date=2025-08-22 |access-date=2025-09-10}}</ref> The opt-out requires: | Job seekers are provided a '''30-day window''' to opt out of the arbitration agreement by sending notice to '''[email protected]'''.<ref>{{cite web |url=https://www.indeed.com/legal?hl=en |title=Terms of Service (Section D.12(l) – 30-Day Opt-Out) |website=Indeed Legal |date=2025-08-22 |access-date=2025-09-10}}</ref> The opt-out requires: | ||
* A statement of intent to opt out | *A statement of intent to opt out | ||
* Full name | *Full name | ||
* Mailing address | *Mailing address | ||
* Phone number | *Phone number | ||
* All email addresses linked to Indeed accounts | *All email addresses linked to Indeed accounts | ||
* Date of the notice | *Date of the notice | ||
Optional: An automated opt-out notice generator is available [ | Optional: An automated opt-out notice generator is available [https://denveous.github.io/arbitration/ here] to help users create properly formatted legal notices, or if you prefer there is this pdf provided by Indeed's legal department over [https://acrobat.adobe.com/id/urn:aaid:sc:US:95af942c-2ff5-424b-a3b1-521f7800a347?viewer%21megaVerb=group-discover here] | ||
==Legal & regulatory context== | ==Legal & regulatory context== | ||
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===TCPA compliance requirements=== | ===TCPA compliance requirements=== | ||
Current TCPA law maintains strict requirements for Prior Express Written Consent (PEWC), including: | Current TCPA law maintains strict requirements for Prior Express Written Consent (PEWC), including: | ||
* Consent must be obtained separately for each marketing entity | *Consent must be obtained separately for each marketing entity | ||
* Cannot be bundled with other agreements | *Cannot be bundled with other agreements | ||
* Must be clear & unambiguous<ref>{{cite web |url=https://www.pcrecruiter.net/site/2025/01/16/recruiters-guide-to-texting/ |title=The Recruiter's Guide to the TCPA & Texting |website=PCRecruiter |date=2025-01-16 |access-date=2025-09-10}}</ref> | *Must be clear & unambiguous<ref>{{cite web |url=https://www.pcrecruiter.net/site/2025/01/16/recruiters-guide-to-texting/ |title=The Recruiter's Guide to the TCPA & Texting |website=PCRecruiter |date=2025-01-16 |access-date=2025-09-10}}</ref> | ||
Penalties range from '''$500 to $1,500 per violation''', with significant increases in TCPA litigation in recent years.<ref>{{cite web |url=https://www.dnc.com/blog/what-tcpa-lawsuit-can-cost-you |title=What a TCPA Lawsuit Can Cost You |website=DNC.com |access-date=2025-09-10}}</ref> TCPA class action filings reached '''2,788 cases in 2024''' (a 67% increase from 2023) with January 2025 showing a 250% increase in class action filings year-over-year.<ref>{{cite web |url=https://tcpaworld.com/2025/03/06/tcpa-class-action-filings-explode-the-massive-final-numbers-are-in-for-2024-and-january-2025-numbers-are-insane/ |title=TCPA CLASS ACTION FILINGS EXPLODE: The MASSIVE Final Numbers Are In for 2024–And January, 2025 Numbers Are INSANE |website=TCPAWorld |date=2025-03-06 |access-date=2025-09-10}}</ref> | Penalties range from '''$500 to $1,500 per violation''', with significant increases in TCPA litigation in recent years.<ref>{{cite web |url=https://www.dnc.com/blog/what-tcpa-lawsuit-can-cost-you |title=What a TCPA Lawsuit Can Cost You |website=DNC.com |access-date=2025-09-10}}</ref> TCPA class action filings reached '''2,788 cases in 2024''' (a 67% increase from 2023) with January 2025 showing a 250% increase in class action filings year-over-year.<ref>{{cite web |url=https://tcpaworld.com/2025/03/06/tcpa-class-action-filings-explode-the-massive-final-numbers-are-in-for-2024-and-january-2025-numbers-are-insane/ |title=TCPA CLASS ACTION FILINGS EXPLODE: The MASSIVE Final Numbers Are In for 2024–And January, 2025 Numbers Are INSANE |website=TCPAWorld |date=2025-03-06 |access-date=2025-09-10}}</ref> | ||
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===Financial pressures & monetization changes=== | ===Financial pressures & monetization changes=== | ||
Recruit Holdings reported declining performance: | Recruit Holdings reported declining performance: | ||
* Q1 2024 HR Technology revenue: $1.83 billion (down 2.5% YoY) | *Q1 2024 HR Technology revenue: $1.83 billion (down 2.5% YoY) | ||
* U.S. HR Tech revenue: $1.25 billion (down 5.0% YoY) | *U.S. HR Tech revenue: $1.25 billion (down 5.0% YoY) | ||
* Paid job ads on Indeed: down 50% YoY<ref>{{cite web |url=https://www.staffingindustry.com/news/global-daily-news/indeed-and-glassdoor-revenue-declines-paid-job-ads-down-50 |title=Indeed & Glassdoor revenue declines, paid job ads down 50% |website=Staffing Industry |date=2024-08-13 |access-date=2025-09-10}}</ref> | *Paid job ads on Indeed: down 50% YoY<ref>{{cite web |url=https://www.staffingindustry.com/news/global-daily-news/indeed-and-glassdoor-revenue-declines-paid-job-ads-down-50 |title=Indeed & Glassdoor revenue declines, paid job ads down 50% |website=Staffing Industry |date=2024-08-13 |access-date=2025-09-10}}</ref> | ||
Indeed eliminated free job postings for companies using automated posting systems in '''October 2024''', forcing employers into paid sponsorship models costing $300-1,000 per posting.<ref>{{cite web |url=https://support.augusta.care/hc/en-us/articles/29520796936205-Indeed-Upcoming-Changes-to-Job-Visibility-What-Employers-Need-to-Know |title=Indeed - Upcoming Changes to Job Visibility: What Employers Need to Know |website=Augusta |date=2024-10-01 |access-date=2025-09-10}}</ref> | Indeed eliminated free job postings for companies using automated posting systems in '''October 2024''', forcing employers into paid sponsorship models costing $300-1,000 per posting.<ref>{{cite web |url=https://support.augusta.care/hc/en-us/articles/29520796936205-Indeed-Upcoming-Changes-to-Job-Visibility-What-Employers-Need-to-Know |title=Indeed - Upcoming Changes to Job Visibility: What Employers Need to Know |website=Augusta |date=2024-10-01 |access-date=2025-09-10}}</ref> | ||
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===Consent practices across platforms=== | ===Consent practices across platforms=== | ||
Major job platforms have adopted unbundled consent mechanisms: | Major job platforms have adopted unbundled consent mechanisms: | ||
* '''LinkedIn''': Uses separate, granular consent checkboxes distinguishing between recruiter outreach & LinkedIn marketing<ref>{{cite web |url=https://www.linkedin.com/legal/l/lmsprogramterms |title=LMS Program Terms |website=LinkedIn |access-date=2025-09-10}}</ref> | *'''LinkedIn''': Uses separate, granular consent checkboxes distinguishing between recruiter outreach & LinkedIn marketing<ref>{{cite web |url=https://www.linkedin.com/legal/l/lmsprogramterms |title=LMS Program Terms |website=LinkedIn |access-date=2025-09-10}}</ref> | ||
* '''Monster/CareerBuilder''': Following their 2024 merger, overhauled their consent structure with separate controls for different communication types<ref>{{cite web |url=https://resources.careerbuilder.com/employer-blog/careerbuilder-and-monster-close-combination-creating-stronger-job-board-for-talent-and-employers |title=CareerBuilder & Monster close combination |website=CareerBuilder |date=2024-08-01 |access-date=2025-09-10}}</ref> | *'''Monster/CareerBuilder''': Following their 2024 merger, overhauled their consent structure with separate controls for different communication types<ref>{{cite web |url=https://resources.careerbuilder.com/employer-blog/careerbuilder-and-monster-close-combination-creating-stronger-job-board-for-talent-and-employers |title=CareerBuilder & Monster close combination |website=CareerBuilder |date=2024-08-01 |access-date=2025-09-10}}</ref> | ||
* '''ZipRecruiter''': Has distinct opt-ins for their marketing versus employer communications<ref>{{cite web |url=https://www.ziprecruiter.com/marketplace/terms |title=ZipRecruiter Marketplace Terms |website=ZipRecruiter |access-date=2025-09-10}}</ref> | *'''ZipRecruiter''': Has distinct opt-ins for their marketing versus employer communications<ref>{{cite web |url=https://www.ziprecruiter.com/marketplace/terms |title=ZipRecruiter Marketplace Terms |website=ZipRecruiter |access-date=2025-09-10}}</ref> | ||
* '''Glassdoor''': In spite of controversial 2024 changes requiring real names, glassdoor keeps separate consent streams<ref>{{cite web |url=https://ia.acs.org.au/article/2024/glassdoor-now-wants-your-real-name-and-employer.html |title=Glassdoor now wants your real name & employer |website=Information Age |date=2024-03-27 |access-date=2025-09-10}}</ref> | *'''Glassdoor''': In spite of controversial 2024 changes requiring real names, glassdoor keeps separate consent streams<ref>{{cite web |url=https://ia.acs.org.au/article/2024/glassdoor-now-wants-your-real-name-and-employer.html |title=Glassdoor now wants your real name & employer |website=Information Age |date=2024-03-27 |access-date=2025-09-10}}</ref> | ||
===Privacy expert perspectives=== | ===Privacy expert perspectives=== | ||
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Regarding scams, Indeed states it "never reach[es] out to job seekers to offer employment through phone calls, text messages, or apps like WhatsApp or Telegram."<ref>{{cite web |url=https://support.indeed.com/hc/en-us/articles/28360944766221-Text-Messages-or-Phone-Calls-Claiming-To-Be-Indeed-It-Might-Be-a-Scam |title=Text Messages or Phone Calls Claiming To Be Indeed? It Might Be a Scam |website=Indeed Support |access-date=2025-09-10}}</ref> | Regarding scams, Indeed states it "never reach[es] out to job seekers to offer employment through phone calls, text messages, or apps like WhatsApp or Telegram."<ref>{{cite web |url=https://support.indeed.com/hc/en-us/articles/28360944766221-Text-Messages-or-Phone-Calls-Claiming-To-Be-Indeed-It-Might-Be-a-Scam |title=Text Messages or Phone Calls Claiming To Be Indeed? It Might Be a Scam |website=Indeed Support |access-date=2025-09-10}}</ref> | ||
== | ==Conclusion== | ||
Indeed's bundled consent checkbox creates TCPA compliance risks despite the January 2025 vacation of the FCC's one-to-one consent rule. Legal experts from Bryan Cave Leighton Paisner note that ''"consumers must provide individual consent for contact to each specific seller,"'' making Indeed's bundled approach legally problematic even after regulatory changes.<ref>{{cite web |url=https://www.bclplaw.com/en-US/events-insights-news/fccs-new-11-consent-rule-spells-trouble-in-2025.html |title=FCC's new 1:1 consent rule spells trouble in 2025 |website=Bryan Cave Leighton Paisner |date=2025-01-10 |access-date=2025-09-10}}</ref> | Indeed's bundled consent checkbox creates TCPA compliance risks despite the January 2025 vacation of the FCC's one-to-one consent rule. Legal experts from Bryan Cave Leighton Paisner note that ''"consumers must provide individual consent for contact to each specific seller,"'' making Indeed's bundled approach legally problematic even after regulatory changes.<ref>{{cite web |url=https://www.bclplaw.com/en-US/events-insights-news/fccs-new-11-consent-rule-spells-trouble-in-2025.html |title=FCC's new 1:1 consent rule spells trouble in 2025 |website=Bryan Cave Leighton Paisner |date=2025-01-10 |access-date=2025-09-10}}</ref> | ||
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==Timeline== | ==Timeline== | ||
* '''2023-03-22:''' Indeed lays off 2,200 employees (15% of workforce) | *'''2023-03-22:''' Indeed lays off 2,200 employees (15% of workforce) | ||
* '''2024-05-08:''' Indeed lays off 1,000 employees (8% of workforce) | *'''2024-05-08:''' Indeed lays off 1,000 employees (8% of workforce) | ||
* '''2024-10-01:''' Indeed eliminates free job postings for automated posting systems | *'''2024-10-01:''' Indeed eliminates free job postings for automated posting systems | ||
* '''2025-01-24:''' Eleventh Circuit vacates FCC's TCPA one-to-one consent rule | *'''2025-01-24:''' Eleventh Circuit vacates FCC's TCPA one-to-one consent rule | ||
* '''2025-06-02:''' CEO Chris Hyams resigns, replaced by Hisayuki Idekoba | *'''2025-06-02:''' CEO Chris Hyams resigns, replaced by Hisayuki Idekoba | ||
* '''2025-07-25:''' Indeed & Glassdoor lay off 1,300 employees | *'''2025-07-25:''' Indeed & Glassdoor lay off 1,300 employees | ||
* '''2025-08-22:''' Indeed publishes updated Terms of Service with arbitration agreement | *'''2025-08-22:''' Indeed publishes updated Terms of Service with arbitration agreement | ||
* '''2025-09-07:''' Indeed updates Legal page describing Terms changes | *'''2025-09-07:''' Indeed updates Legal page describing Terms changes | ||
==References== | ==References== | ||