greenhouse CEO Daniel Chait He said artificial intelligence is creating a “loop of doom” in recruiting, as job seekers use AI tools to submit extensive applications, while overwhelmed recruiters increasingly rely on AI to make selections.
Candidates can spend about $20 on a tool that automatically applies to Greenhouse jobs, contributing to a surge in applications that recruiters struggle to process, according to a Fortune report published Sunday.
Greenhouse currently has approximately 175,000 job openings, with an average of 254 applicants per job, and a 412% increase in applications per recruiter.
AI doom loop
“This is the first time that both sides have been truly unhappy,” Chait said. “The market is not working for either side.”
As candidates submit more AI-generated applications, recruiters will use AI to keep up with the growing volume. Rejected applicants respond by submitting further automated applications.
“We call this the AI doom loop,” Chait said. “Everyone is using their own AI to solve their own problems, but it’s making the whole system worse.”
Recruiters can receive hundreds or thousands of applications within days, Chait said. Many applications generated using AI can look similar, making it difficult for employers to identify candidates who are truly interested in the position.
Job seekers have already started experimenting with AI to interact with automated hiring systems. Some candidates are creating multiple resume versions tailored to different skills and keywords, reflecting growing dissatisfaction with automated screening.
recruitment squeeze
Wider changes are creating unprecedented employment challenges. Candidates will be able to apply for far more jobs using AI, while companies will be able to use AI to process far more applicants. As a result, both sides are likely to rely more on automation to cope with it.
greenhouse effect modification
Greenhouse’s “My Dream Job” feature allows candidates to mark one job as their first choice each month.
Nearly 500,000 similar applications have been submitted, and candidates are hired at about five times the rate of other candidates.
Greenhouse also acquired Ezra AI Labs to offer AI voice interviewing and reduce reliance on resume screening.
“Why automatically send out thousands of job applications when you have to go through interviews for all of them?” Chait said.
human signal
As AI applications grow, individual efforts can help candidates stand out.
Actress Anne Hathaway warned about thank you notes written on ChatGPT after receiving a similar message when she was hired.
“If you’re going out trying to escape something, you could be exposing yourself,” Hathaway said.
Netscope Co., Ltd. (NASDAQ:NTSK) CEO Sanjay Beri He also recommended building relationships rather than relying entirely on online applications, noting that some good jobs “never get published.”
“Knowing who you know, how you get to know them, and building your network will pay off over time,” Berry says.
Disclaimer: This content is created in part using AI tools, and reviewed and published by Benzinga editors.
