6 Side Hustles That Could Hurt Your Job Prospects: What Recruiters Look For (2025)

Your Side Hustle Could Be Costing You the Job: 6 Red Flags Recruiters Watch For

In today’s gig economy, side hustles are no longer just a trend—they’re a way of life. From earning extra cash to honing new skills, they seem like a win-win. But here’s where it gets controversial: some side hustles can actually backfire, raising serious concerns for recruiters and hiring managers. Could your side gig be sending the wrong message about your priorities or judgment? Let’s dive into the six side hustles that might make employers think twice, according to David Garcia, CEO of ScoutLogic, a leading background check service.

Garcia explains, ‘When we conduct background screenings, we’re not just looking for criminal records—we’re assessing a candidate’s professional judgment, ethics, and commitment.’ While side hustles aren’t inherently bad, certain ones can paint a candidate in a less-than-flattering light. Here’s the breakdown—and this is the part most people miss.

1. High-Risk Crypto and NFT Trading: The Gamble That Could Cost You

Cryptocurrency and NFT trading might seem like a quick path to riches, but recruiters often view it as a red flag. Why? The volatile nature of these markets can lead to impulsive, high-risk decision-making—traits companies may not want in their employees. Garcia notes, ‘We’ve seen candidates day-trading during work hours or promoting risky schemes on social media. For roles requiring financial responsibility, this raises immediate concerns about judgment and conflicts of interest.’

2. Multi-Level Marketing (MLM): Blurring the Lines Between Personal and Professional

MLMs are a major red flag, according to Garcia. The aggressive tactics often used in these schemes can make recruiters question a candidate’s ethics and professionalism. ‘We’ve seen employees use company resources to recruit coworkers or try to sell products to clients during business interactions,’ Garcia says. ‘It’s a clear boundary issue.’

3. Controversial Influencer Activities: When Your Online Presence Clashes with Company Values

Having a strong online presence can be an asset—unless it contradicts your employer’s values. Garcia shares a striking example: ‘A hospital client discovered a nursing candidate’s Instagram account featured alcohol-heavy party content and divisive political commentary. Even though it wasn’t illegal, it clashed with the hospital’s professional image.’ Social media is now a standard part of background screenings, so think twice before posting.

4. Gig Economy Jobs: What Are They Really Saying About Your Finances?

Gig work like ridesharing or delivery driving isn’t inherently bad, but it can raise questions. If someone with a six-figure salary history is driving for Uber on weekends, recruiters wonder: ‘Is this financial mismanagement, or is there something else going on?’ For roles requiring security clearances, unexplained financial stress is a significant concern.

5. Overly Time-Intensive Side Businesses: Are You Fully Committed?

Running a side business that demands significant time can conflict with full-time work. Garcia points out, ‘When a candidate’s LinkedIn shows they’re scaling an e-commerce business, recruiters question their commitment to their day job. Are they using it as a safety net?’ Worse, if the side business competes with their employer, it’s a recipe for conflict.

6. Politically Sensitive Ventures: Neutrality Matters

In industries where neutrality is key, side hustles with political undertones can be problematic. Garcia recalls, ‘A law firm candidate ran a blog attacking the types of clients the firm represented. Even if they could separate personal views from professional duties, the perception problem was too great.’ Companies want to maintain professionalism and avoid alienating diverse client bases.

But here’s the real question: Should employers judge candidates based on their side hustles, or is this an invasion of personal freedom? While some argue that what you do outside work is your business, others believe it reflects your judgment and priorities. What do you think? Are these red flags fair, or is this a step too far into personal territory? Let’s debate in the comments—your take could spark the next big conversation!

6 Side Hustles That Could Hurt Your Job Prospects: What Recruiters Look For (2025)

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