The Hidden Job Market

What is the Hidden Job Market?

In Canada, we have 2 kinds of Labour Markets: The open job market and the Hidden Job
Market. Most job openings are not advertised, creating what seems like a Hidden job market.
Information about available work is circulated through manager's network of co-workers,
business associates, friends and acquaintances.

Visible Job 20%

Market

Hidden Job 80%

Market

The Hidden Job Market

 Network and make direct contact with
employers
 Review directories (Made-in-BC, Red Book,
New Media)
 Yellowpages.ca and make a list of potential
contacts / employers
 Volunteer (www.govolunteer.ca) and
(www.charityvillage.com)
 Take part-time courses
 Visit community centers
(http://vancouver.ca/parks/cc)
 Read Trade journals, magazines and
articles such as:
o Business in Vancouver (www.biv.com)
 Participate in or attend: Sports, clubs,
hobbies and parties
 Explore meetup.com
 Visit Cultural Centres and attend cultural
events
 Research and join associations, attend
conferences
 Register with employment agencies

WorkBC Storeys Employment Services April 1, 2019

Why is there a Hidden Job Market?

Let’s face it hiring people is risky and extremely expensive! Employers do not advertise most jobs,
especially good jobs because there is far less risk in hiring people this way since these candidates are
usually referrals or are already known to management.

 The employers don’t have the time, or the money, to go through the advertisement and
screening/selecting process, but they still need workers
 The employers don’t want to get 1,000 resumes in response to their ad
 Some employers prefer other methods to find a good worker, such as asking other workers,
other employers, schools or counsellors
 Some job openings are a plan in the employer’s head, but not a reality yet
 Some employers have not realized that they may need somebody to solve their problems in a
specific area
 Some employers utilize other ways to get good workers, such as contract head hunters,
recruiters or the services of a job developer

Because of these reasons, you may not be reaching the hidden job market…

Interviews: Costly & Time Consuming

 The interview process itself can be extremely expensive. For some Canadian and US
companies hiring 1 person for a mid-level staff position can cost $5,000 to $20,000. Some
entry level position with training included can cost the employer as much as $15,000.

 In most Canadian companies it can take 2-5 different levels of interviews before you’re even
hired for most staff and management jobs. Each interview can last up to 2-6 hours and can
involve 2-6 staff members being involved per interview. Employers lose money here because
their staff is not doing their usual jobs. In business time is money.

 Human Resources in different companies in Canada are usually involved in pre-screening and
may be involved in the interview process. In majority of Canadian companies, the hiring
decision is not made by Human Resources. The hiring decision is usually made by the
President or the Supervisors or managers that you will be working for.

Risk and Cost of Hiring an Unknown Person

Business people generally do not like to take risks with their money. Hiring an unknown person is very
risky and it is far less risky (hence less costly) to hire people that have been recommended by staff,
co-workers or other employers.

Advertising: Costly & Inefficient

 Most jobs created in BC in the last 5 years were created by small employers of less than 20
people. Advertising is expensive and can cost anywhere from $500-$1000 per week. Small
employers cannot always afford advertising and do not have the time. This is another reason
why so many jobs are never advertised.
 One of the major disadvantages of advertising is that employers can receive 200-1200
resumes for each job advertised. Majority of the applicants (sometimes as high as 90%) are
unsuitable or not qualified for the job.
 Time is money in business and it takes a while to sort through so many resumes.

WorkBC Storeys Employment Services April 1, 2019