Open hiring attracts global interest as companies tackle talent gaps

CALIFORNIA, UNITED STATES — As businesses globally face increasing labor shortages and renewed scrutiny over hiring practices, a new approach known as “open hiring” is gaining attention. 

The concept disregards traditional screening and interview steps by simply hiring the first qualified applicant for a posted position, a practice first adopted in the United States by a major bakery in the 1980s.

The process is straightforward: a job is posted, and the first applicant to meet the stated requirements gets the role, while others are placed on a waiting list.

Addressing bias, but not for every job

Advocates argue that open hiring can foster diversity and reduce unconscious bias. This means applicants are not dismissed prematurely due to background, age, or employment gaps.

“Possible gaps in a resume are irrelevant because they don’t even become an issue in the application process,” Monika Kronbuegel, an executive board member of the German Federation of Human Resource Managers (BPM), notes.

However, critics caution that essential information about an applicant’s suitability may be overlooked. 

“As such, open hiring in a pure form has less potential for more complex job positions than for those with simpler demands,” says Professor Enzo Weber of the Institute for Labour Market and Occupational Research (IAB). 

While open hiring may suit roles in facility management, warehouse work, or truck driving, it is not a fit for highly specialized positions such as doctors or lawyers.

Mixed methods on the horizon?

Currently, open hiring remains rare, especially in markets like Germany, where only a small number of employers have adopted the practice. 

Even so, labor shortages may drive a wider adoption in the future. Weber suggests that a blended model could emerge, using open hiring’s speed for entry-level roles while preserving traditional methods for more demanding jobs.

For companies considering this approach, clear and concise job descriptions are vital, Kronbuegel advises. Job seekers, meanwhile, must be honest about their skills. Trust is given up front, but any dishonesty will quickly backfire.

While open hiring poses some risks, some experts believe it could help organizations modernize their talent acquisition strategies if deployed for the right roles.