Addressing the Issue of ‘Phantom Job Openings’: Are We Doing Enough?

The term ‘phantom job openings’ may evoke images of Halloween, yet it encapsulates a serious issue where employers list job vacancies that are non-existent.

In some instances, these roles may have already been filled, while in others, they may never have been available at all. This phenomenon is a persistent challenge on both sides of the Atlantic.

A recent analysis reveals that up to 22% of online job postings last year were for positions that employers had no intention of filling, as reported by a recruitment software company.

Another study conducted in the UK indicated an even higher figure, citing 34% of advertised jobs as ‘ghost jobs’. Furthermore, the latest statistics from the US Bureau of Labor Statistics highlight a stark contrast: in August, there were 7.2 million job openings, yet only 5.1 million hires were made.

Understanding the Motivations Behind Ghost Job Listings

This raises the question: what motivates companies to post these ghost jobs, and what actions are being taken to address the issue?

In the United States, a tech worker named Eric Thompson has been raising awareness among legislators in Washington, D.C. After losing his job at a start-up last October, Mr. Thompson spent two months applying for countless positions without success.

He explored a wide range of opportunities, from roles matching his experience to those at varying levels. It became clear to him that many of the advertised jobs simply did not exist. This realization prompted him to establish a working group aimed at advocating for legislation to prohibit the posting of fake job advertisements in the United States.

A Legislative Push for Change

Mr. Thompson has been actively engaging with members of Congress to draft a Bill known as The Truth in Job Advertising & Accountability Act. This proposal seeks to implement expiration dates for job postings when hiring has been paused or concluded, establish verifiable hiring records, and enforce penalties against companies that publish misleading or non-existent job listings.

He remains hopeful that some lawmakers will support this initiative. Additionally, Mr. Thompson has launched a petition that has already garnered over 50,000 signatures, along with numerous messages from individuals sharing how ghost jobs have undermined their self-esteem and affected their mental well-being, a situation he deems ‘shameful’.

Meanwhile, the legislatures of New Jersey and California are also considering measures to eliminate ghost jobs.

Ontario Leads with Regulatory Changes

Ontario, a province in Canada, is taking a proactive stance. Effective January 1, companies will be required to reveal whether a job posting is actively being filled.

Ontario is also addressing another recruitment challenge known as ‘ghosting’, where employers fail to respond to applicants. As per the new regulations, businesses with over 25 employees must communicate with interviewees within 45 days after their interview.

However, this requirement does not extend to candidates who were not selected for an interview. Deborah Hudson, an employment attorney in Toronto, has already been approached by firms eager to comply with these new regulations, though she expresses concerns regarding enforcement.

Challenges in Enforcement and Lack of Regulations Elsewhere