by Mark Feffer
DISCLOSURE: The views or comments shared by Mark Feffer within this headline reflect their own experience and opinion.
While job boards continue to deliver the most applicant volume to staffing agencies, new data from hiring and retention software provider CareerPlug, suggests that volume is becoming less important to hiring outcomes, which could lead firms to rethink where they invest in sourcing, StaffingHub reports.
The data, drawn from more than 60,000 small and mid-sized businesses in the U.S., revealed that job boards generated 61% of applications but accounted for just 42% of hires in 2024. This shows an elevated level of inefficiency in high-volume sourcing, with more candidates entering the funnel but fewer converting into placements.
Other channels were found to produce better hiring rates: Industry-specific or localized sources were far more effective, for example. Their candidates were significantly more likely to be hired than those from job boards. Company career sites also performed well, contributing 13% of applicants but 26% of hires. Referrals, which comprised a relatively small slice of total applications, also delivered an outsized share of hires.
All of this is happening as the dynamics of the candidate pool shift. Only 43% of workers said they plan an active job search this year, down from 93% in 2025. The drop reflects broader economic uncertainty and a preference for stability by most workers. While application volume rose 24% year on year, fewer candidates are moving beyond initial screening.
While the pipeline appears voluminous, underlying candidate intent is weaker. As a result, agencies that rely heavily on inbound applications may find it harder to deliver on speed and match quality. Signals indicated that shift are increasingly visible, CareerPlug said. A recent study conducted by the American Staffing Association and LinkedIn found that contract job postings on LinkedIn grew 7% in 2025, even as overall postings declined.
The findings also suggest that candidates are signaling their capabilities and career intentions even before they enter the job market. Channels such as referrals, career sites and curated talent pools are delivering higher conversion rates than job board postings. The data shows that referred and directly sourced candidates convert at much higher rates than job board applicants, indicating both stronger alignment and higher intent.
This correlates with research from Employ Inc. showing that more personalized recruiting is correlated with higher offer acceptance rates, especially among medium-sized employers. This approach mirrors the mechanics of referrals and direct sourcing, where relationships and targeted engagement play a larger role than mass visibility.
None of this means job boards will disappear as a sourcing channel, but as agencies contend with lower conversion rates and a more passive workforce, scale is becoming less important and the competitive advantage is shifting toward other channels.
Founded by CEO Clint Smith in 2007, CareerPlug is based in Austin, Texas.
“Our software is easy-to-use and built for busy owners and managers who are not HR professionals. CareerPlug has a proven playbook that has helped our clients build a winning culture, hire faster, and retain great people,” according to its website.
“Today we are the preferred partner to over 600 franchise brands and member-based organizations, as well as over 60,000 business owners.”