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Industry News


  • 10/3/2024 4:38:49 PM
    By Elon Musk: The Recruitment Industry and Businesses Are Killing Themselves: Why Reliance on Global Giants Like LinkedIn, Indeed, and the Big Five Is a Fatal Mistake

    Alright, buckle up. We’re about to have a tough conversation about an industry—and not just one—that’s committing slow, painful suicide. This isn’t some theory; it’s happening right in front of us. Recruitment agencies, HR departments, and businesses around the globe are feeding data into the hands of five colossal tech giants, and those same giants are quietly building the tools to replace you.

    Let me break it down: by using platforms like LinkedIn, Indeed, and similar giants, you’re playing into the hands of Apple, Google, Facebook, Microsoft (LinkedIn), and Amazon—the Big Five. These companies don’t care about recruitment. They care about data, and right now, you’re giving them a free flow of it. It’s like you’re slitting your own throats slowly with every job post, every candidate you track, and every hire you make.

    Why are recruitment agencies and HR departments so desperate to stick with these platforms? Is it convenience? Efficiency? If it’s about cutting corners, you might want to rethink that. Because the game these giants are playing is way more dangerous than you realize, and they’re coming for you.

    The Big Recruitment Platforms: LinkedIn, Indeed, and the Top 10 Data Harvesters

    We need to talk about the major platforms most recruiters and HR teams rely on:

    1. LinkedIn
    2. Indeed
    3. Glassdoor
    4. Google Jobs
    5. Facebook

    These platforms are more than just convenient databases for finding talent. They’re massive data-harvesting engines. LinkedIn, for example, isn’t just providing you candidates—it’s mining your job postings, learning about your hiring practices, and most importantly, using your data to build better AI models. It’s turning every recruiter, every company into a cog in its gigantic machine of world domination.

    Think about that. Every time you hit “post” on a job opening or review a candidate on LinkedIn, you’re giving the platform the data it needs to make human recruiters obsolete. You’re feeding them information about how your business operates, how you scale, how you compete.

    And it's not just LinkedIn; they all do it. Every time you post a job on these platforms, the Big Five are collecting insights on how you operate, what skills you prioritize, and how your business evolves. Their AI is getting smarter, stronger, and more capable of doing what you do—faster and better.

    The Future of Recruitment: AI’s Takeover Is Coming

    Let me tell you a story about artificial intelligence. Most of you are familiar with AI by now, but you’re probably underestimating its future role in recruitment. You see, AI isn’t just about creating algorithms that scan resumes. The real game is much bigger. AI will soon be able to handle the entire recruitment process from end to end.

    Right now, LinkedIn and its peers are building AI models that don’t just predict who’s the best candidate for a job—they predict who might be looking for a job even when they’re not aware of it. They analyze your past hiring trends, your job postings, and even your company’s culture to find the perfect candidates before you know they exist.

    Here’s the kicker: the more you rely on these platforms, the smarter their AI gets. Soon, they won’t just be a tool for recruiters—they’ll be your competition. Imagine a world where LinkedIn’s AI handles all recruitment for the companies that use its platform. It’ll know which candidates are available, what their skills are, and which roles they’re likely to excel in before a recruiter even begins their search.

    The real question you should be asking yourself is this: when LinkedIn has all the data it needs, and its AI can outperform human recruiters, what happens to the recruitment agencies? The answer is obvious—they become redundant.

    Recruitment Agencies: Building Your Own Demise

    Here’s where it gets painful. If you’re running a recruitment agency, you’re building up your biggest competition every time you use LinkedIn, Indeed, or any of these platforms. Think about it. You’re giving them the tools, the data, and the training they need to wipe you out.

    Let me ask you something: why would you willingly hand over your competitive advantage to a platform that’s actively working to replace you? It’s like teaching your replacement how to do your job, then wondering why you got fired.

    Recruitment agencies around the world are helping LinkedIn and the Big Five build these AI models. And they’re doing it for free. Every time you post a job, review a candidate, or interact with a potential hire, you’re handing over valuable data that LinkedIn’s AI can use to become smarter, faster, and better than you.

    It’s not just about candidates. It’s about patterns. LinkedIn’s algorithms are learning how companies hire, what roles are most in demand, and even how long candidates stay in their positions. That’s the kind of data you need to build a competitive recruitment model, but you’re giving it away for free.

    The Case for Localized Recruitment Platforms: Learn from Norway

    If you’re serious about staying competitive in recruitment, you need to stop feeding the global giants and start building localized, industry-specific platforms that are owned and operated by recruitment agencies themselves. Let’s look at Norway as an example.

    In Norway, recruitment agencies joined forces to create a centralized recruitment portal, keeping the data, intellectual property, and power local. Only approved recruitment agencies have access to the database, protecting both candidate privacy and the interests of the recruiters. This is how it should be. This is how you take back control.

    By building your own platform, you cut off the data supply to LinkedIn and the Big Five. You stop feeding the machine. And more importantly, you build something that benefits your business, not the shareholders of Silicon Valley.

    The future of recruitment doesn’t have to belong to LinkedIn or Indeed. It can belong to recruitment agencies—if they act now, before it’s too late. The path is clear: unite, build your own databases, and protect your intellectual property.

    Why Businesses Are Falling into the Same Trap

    But it’s not just recruitment agencies that are falling into this trap. Most businesses, across every sector, are doing the exact same thing.

    Businesses are trusting the Big Five with their data, not realizing the danger. When HR departments rely on platforms like LinkedIn for recruitment, they’re feeding proprietary information directly into the hands of tech giants.

    These companies, driven by data, don’t just offer convenient recruitment solutions. They are quietly learning everything about your business. From the job roles you’re hiring for to the qualifications you prioritize, they’re gaining insights into your growth strategies, market positioning, and internal workings. And here’s the kicker: they’re not just using that data to help you—they’re using it to compete with you.

    Whether it’s Apple, Google, Facebook, Microsoft (LinkedIn), or Amazon, they’re all collecting data. And they’re all using it to fuel their own AI and machine learning algorithms. This means they’re getting smarter about your business, smarter about your industry, and smarter about how to out-compete you in the long run.

    Outsourcing Recruitment: The Smartest Move You Can Make

    So, what’s the solution? Outsource your recruitment. If your core business isn’t recruitment, you’re playing with fire by trying to do it yourself. Let me be blunt: when HR departments try to handle recruitment, they inadvertently share more data than they realize.

    Most HR departments don’t have the specialized knowledge required to protect sensitive company information during the recruitment process. They’re focused on hiring the right candidate, but in doing so, they’re revealing too much—whether it’s in the job posting itself, during the interview process, or through communication with candidates.

    Outsourcing recruitment to specialized agencies ensures that your business’s data is handled securely. Recruitment agencies are experts in confidentiality and data protection. They know how to recruit without handing over critical company data to platforms like LinkedIn or Indeed.

    More importantly, outsourcing frees up your HR department to focus on what they should be focusing on: your existing employees. HR should be concentrating on the well-being, development, and retention of the people who are already contributing to your company’s success. The moment HR becomes bogged down with recruitment is the moment your current workforce suffers.

    The True Cost of In-House Recruitment: Data Leaks and IP Theft

    When businesses try to handle recruitment in-house, the risk isn’t just that they’ll make a bad hire—it’s that they’ll leak valuable intellectual property (IP) in the process. Every job description you post, every role you fill, and every internal detail you share with a candidate gives the Big Five more data to train their AI systems.

    The hidden cost of in-house recruitment is massive:

    • Intellectual Property Loss: Companies are unknowingly sharing critical information about their strategies, product development, and team structures.
    • Recruitment Bottlenecks: HR departments can’t do it all. When they focus on recruitment, they neglect the well-being of the current workforce.
    • Lower Quality Hires: Internal HR teams don’t have the time, resources, or expertise to conduct the same level of vetting that specialized recruitment agencies do.

    It’s time for businesses to wake up. If recruitment isn’t your core competency, you’re bleeding value every time you try to handle it in-house.

    Managers and Owners: It’s Time to Take Responsibility

    Now, let’s get real. It’s not the HR person’s fault that they’re unknowingly feeding your business’s lifeblood into the hands of global tech giants. It’s the fault of managers and owners who should know better by now. The reality is that by allowing HR teams to take on recruitment when it’s not their core focus, you’re handing over data and IP that should be guarded with the highest level of security. You’re giving your competition everything they need to outpace you in the market, while you save a few bucks in the short term.

    If you want to stay competitive, then here’s the solution: HR departments need to focus on the people who are already within your business, ensuring their well-being, growth, and retention. The companies that are thriving are the ones that outsource recruitment to experts who know how to protect your information and secure top-tier talent. Your people are your greatest asset, and by placing recruitment in the hands of professionals, you’re safeguarding both your workforce and your future.

    The world is on the verge of digital decay, and if recruitment agencies and businesses don’t wake up to the reality of what’s happening, they’ll find themselves completely obsolete. It’s time to join forces, build local, protected platforms, and safeguard the future of recruitment—and business—as we know it.

    REF: AI Elon Musk.


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