Will Blockchain Transform The Recruitment Process?

Blockchain technology has been around for a few years now and it has only evolved ever since it’s inception. With the technology becoming widely accepted, recruiters are also looking into it’s possibilities. But how can something known primarily in the context of Bitcoin become prevalent in the recruitment industry? Well, the technology has immense potential of transforming the entire hiring process.  

Let’s understand what blockchain is and what kind of impact it can have on the recruitment industry in the coming years.  

What Is Blockchain:  

Essentially, it’s a distributed ledger used for logging the data submitted in it and protecting its integrity. Once you have logged any data through the blockchain, it’s almost impossible to change it in one way or another.  

It’s generally used to store information and assets – such as NFTs and transactions made through cryptocurrencies. This is to ensure they are protected without the need for any central authority.  

The data stored in a blockchain network is consensually distributed across different sites. This will ensure it can’t be changed without verification and consensus.  

How Is Blockchain Changing The Recruitment Process For The Better: 

It may be easier for you to understand why blockchain technology is useful for the financial industry, but it has had a positive impact on many other industries. Despite being in its early adoption stages in recruitment, it has potential to revolutionize job application and hiring processes. In fact, the entire recruitment process will look different and more efficient on a blockchain, making it easier for recruiters to hire the right person for the job.  

Let’s look into how blockchain technology can change the recruitment process..  

Instant Access To Accurate Candidate Data: 

Hiring the right candidate for the job is of paramount importance for HR. And for that, you need to look into accurate data about every candidate’s past experiences, education, etc. As you can’t solely rely on the information presented in the job seekers’ resumes, blockchain technology gives you the ultimate solution.  

With blockchain technology, recruiters can have instant access to complete and accurate data on the entire employment history of the candidates. It will do HR a world of good by giving them access to candidate’s complete, transparent work history in a single secure digital ledger.  

Fast and Simple Employee Contracting:

Blockchain will be used for holding information on employment contracts. This could include electronic signatures and payroll details. It would allow HR to hire employees instantly and assign them the contract without any paperwork delays.   

For employers who want to cut down their admin burdens and direct their focus on other important aspects of their business, blockchain technology will be a true saviour.  

Job Boards Will Be a Thing Of Past: 

Blockchain has the potential to essentially eliminate the middleman in the hiring process. Instead of paying job boards for CVs, recruiters will be able to directly download candidates’ data and contact them with a micro-payment.  

It could be a great way to acknowledge the value of a candidate and automatically initiate a more value-driven and respectful dialogue.  

Candidate Data Will Be More Secure: 

With technology taking the centre stage to make the recruitment process more efficient, there’s a lot of sensitive employee data accessible to HR. New data-privacy regulations are taking effect everywhere in the world. It’s of critical importance for recruiters to responsibly store any candidate data they receive. Keeping it on the cloud is always susceptible to data tampering and hacking. The use of Blockchain will enhance data security manifold, as it breaks down data into small chunks and stores them on a distributed network. This decentralized nature of blockchain makes hacking the candidate data almost impossible.  

Conclusion: 

In conclusion, Blockchain technology has immense potential to transform the recruitment process. However, most blockchain recruitment applications are still in their early stages. Nevertheless, Blockchain is way more than simply cryptocurrency and Bitcoin. We can’t ignore that it has the potential to have a significant impact on the recruitment industry.