Not only does this disincentivize HR from running fake vacancies or stringing multiple candidates on just to keep their options open, but it also solves the problem of unemployed people job-searching effectively working full-time for free. The fact that companies would have to pay to hire workers would mean they try to make the selection as short and effective as possible.
Edit: From the business POV:
- Businesses would have a limited budget for hiring so would limit process to 10 applicants and would have to pick those randomly. Less time spent on interviewing but also might miss the ideal candidate. Although the difference would fall sharply with larger pools.
- And 000s of people now stuck wo any appls at all (although better than writing fake, futile appls), and no money. Not enough jobs on the market would translate into not enough paying applications for them to be able to substitute unemployment benefits.
Because people involved in hiring have no idea what they are spending to find and hire employees. Once they learn what they’re spending and on what, they’ll definitely agree to spend a tiny bit more to ensure the upfront investment pays off in a good employee.
EX: My company, we are currently hiring another accountant to join the team. We’ve spent somewhere in the range of $20,000 so far trying to fill that role. I expect we’ll get closer to double that by the time these dipshits find the right person.
So we’re talking about, say, $30,000 in expenses to find the new employee.
What would an interview pay? A few hundred dollars, max? Let’s say $100 to make the math easy.
If we interview 5 people for the job and hire one, we will have spent $30,000 + $500, or $30,500. If we interview 10 people for the job and hire one, we will have spent $30,000 + $1000, or $31,000.
We doubled the number of interviews (much larger pool to find the right candidate) and the overall cost was only 1.6% higher.
A savvy manager would significantly increase interview numbers for a small increase in cost. Big benefit, little downside.