Canada was ahead of the curve passing provincial laws over the last few years. I guess only time will tell how effective these will be but early signs have me optimistic.
I’ve been sitting with this for a bit and still can’t wrap my head around the incentives you outlined for firms. While I can see some potential benefits to posting a ghost job, the reputational costs (both with investors and future employees) seem like they’d outweigh the upside.
I also think you may be underestimating the HR costs. It’s nearly costless to post a job, but if it leads to increased email follow-ups or even fake interviews, the administrative burden adds up quickly. It just doesn’t seem like the cost-benefit calculus favors keeping ghost jobs live for long.
To be fair, I also don't buy into the notion that firms are true profit-maximizing entities that are efficient. They're more efficient than other types of firms, but they also have a lot of waste. I wouldn't be surprised if some executive pay is based on the number of postings.
The fact that we (economic developers) use posting data as one of the metrics to analyze demand and growth in a particular field... I'm shocked that this never crossed my mind as something that was even happening. I assume that's why there has only recently been a rise in push back against these practices. I'd guess that 75% of entrants/applicants aren't even thinking "Hey this job I just applied for might be fake". Do you think that number is actually higher or lower?
This post was influenced by Job seekers. Among that segment ghost jobs is a common concern. Even more scary are the fake jobs designed to steel applicant identities. That will be a post for another time.
I am reminded of a couple of years ago, when it went the rounds that the number of jobs posted exceeded the number of people applying for jobs, and I said this must mean that more training more closely aligned with company needs is needed. Now I wonder if that is true.
I have seen job seekers in higher ed note that 1. institutions never comment on how the job is doing, what is needed to get the job (other than what is in the posting), whether someone has been hired, etc; 2. They are called to apply for a job, then never hear back -- these are "indications" of ghost postings, but how do we know?
I met you through your social media pages; I am not sure if you remember me. I currently work in the healthcare sector and for the past ~3 years my goal has been to transition to the economics sector. The job search has been tremendously exhausting. The government freeze at the beginning of 2025 further complicated this; leading me to believe that these employees took the "real" jobs and those who were laid off and delaying those in the market.
Jessenia, so great to hear from you again. I do remember you! Thanks for sharing your experience. I am hearing that the government freeze has impacted more than the government jobs themselves.
Great newsletter! I’m interested in examining which industries have the highest prevalence of ghost job postings. Based on personal experience and conversations in the field, my hypothesis is that government roles rank highest, driven by internal hiring, budget uncertainty, and procedural signaling that reduces time costs and unpredictability by favoring known or internal candidates.
However while it saves time for the employer, it loses time for applicants, eroding trust and confidence. These dynamics have reduced my interest in government work and pushed me toward sectors with more reliable hiring signals.
Glad this issue is getting addressed. I wonder how long until we see data that reflects the larger effects of these practices. More specifically for firms and job seekers.
Canada was ahead of the curve passing provincial laws over the last few years. I guess only time will tell how effective these will be but early signs have me optimistic.
It is one of the biggest frustrations with entry level job search
Good for some states for doing something to regulate this. I’ll be honest — I’m pleasantly surprised that this was such a priority in Kentucky!
There is nothing I loathe more than working on a resume and writing a cover letter.
I was surprised by Kentucky too. A good suprised.
I’ve been sitting with this for a bit and still can’t wrap my head around the incentives you outlined for firms. While I can see some potential benefits to posting a ghost job, the reputational costs (both with investors and future employees) seem like they’d outweigh the upside.
I also think you may be underestimating the HR costs. It’s nearly costless to post a job, but if it leads to increased email follow-ups or even fake interviews, the administrative burden adds up quickly. It just doesn’t seem like the cost-benefit calculus favors keeping ghost jobs live for long.
I think the reputational effects are now catching up with firms. There is a lag.
I see your point on the HR costs.
To be fair, I also don't buy into the notion that firms are true profit-maximizing entities that are efficient. They're more efficient than other types of firms, but they also have a lot of waste. I wouldn't be surprised if some executive pay is based on the number of postings.
The fact that we (economic developers) use posting data as one of the metrics to analyze demand and growth in a particular field... I'm shocked that this never crossed my mind as something that was even happening. I assume that's why there has only recently been a rise in push back against these practices. I'd guess that 75% of entrants/applicants aren't even thinking "Hey this job I just applied for might be fake". Do you think that number is actually higher or lower?
This post was influenced by Job seekers. Among that segment ghost jobs is a common concern. Even more scary are the fake jobs designed to steel applicant identities. That will be a post for another time.
Also, thanks for the comment and following here!
Thank you for this important post.
"Greenhouse, a major hiring platform, reported that 18–22% of online job ads are fake or unfilled" https://www.davron.net/ghost-jobs-misleading-job-ads-are-still-rising-what-job-seekers-and-employers-need-to-know/
I am reminded of a couple of years ago, when it went the rounds that the number of jobs posted exceeded the number of people applying for jobs, and I said this must mean that more training more closely aligned with company needs is needed. Now I wonder if that is true.
I have seen job seekers in higher ed note that 1. institutions never comment on how the job is doing, what is needed to get the job (other than what is in the posting), whether someone has been hired, etc; 2. They are called to apply for a job, then never hear back -- these are "indications" of ghost postings, but how do we know?
Hello Dr. A,
I met you through your social media pages; I am not sure if you remember me. I currently work in the healthcare sector and for the past ~3 years my goal has been to transition to the economics sector. The job search has been tremendously exhausting. The government freeze at the beginning of 2025 further complicated this; leading me to believe that these employees took the "real" jobs and those who were laid off and delaying those in the market.
Jessenia, so great to hear from you again. I do remember you! Thanks for sharing your experience. I am hearing that the government freeze has impacted more than the government jobs themselves.
Great newsletter! I’m interested in examining which industries have the highest prevalence of ghost job postings. Based on personal experience and conversations in the field, my hypothesis is that government roles rank highest, driven by internal hiring, budget uncertainty, and procedural signaling that reduces time costs and unpredictability by favoring known or internal candidates.
However while it saves time for the employer, it loses time for applicants, eroding trust and confidence. These dynamics have reduced my interest in government work and pushed me toward sectors with more reliable hiring signals.
Glad this issue is getting addressed. I wonder how long until we see data that reflects the larger effects of these practices. More specifically for firms and job seekers.