Hiring frictions and growth among small firms. Event graphic created by the International Finance Corporation (IFC). Image by krungchingpixs via Adobe Stock.
EVENT CANCELLED (Hiring frictions and growth among small firms: Evidence from an internet platform experiment)
This webinar has now been cancelled.
Please note, the timings for the webinar are in Eastern Standard Time (EST).
Despite the growing prominence of online job portals, firms remain reluctant to hire outside traditional recruitment networks. We find that experimentally providing firms with a combination of advertising and the ability to verify applicant identity increases portal-based hiring by 68 percent and the likelihood of filling a vacancy by 11 percent. Advertising attracts more skilled applicants, while verification enables the screening of unfamiliar applicants. Portal-based hires are retained beyond the standard assessment period, suggesting that they are well suited to the vacancies. Firms assigned only advertising also attract more skilled applicants, but providing neither advertising nor verification alone increases hiring.