Is ATS software ruining the candidate experience?

Liz Christianson

What began as a system to revolutionize the hiring process has become somewhat of a roadblock to finding a job. Applicant Tracking Systems, or ATS, have been steadily removing the Human from Human Resources since the 1970s. Let’s dive into the history of ATS, explore how its flaws impact both employers and job candidates alike, and discuss potential solutions.

The Origins of ATS- 1970s-1990s

The old-school ATS was designed to revolutionize a hiring process that was cumbersome and time-consuming. Companies had to place ads in newspapers and then keep track of printed resumes and paper job applications. As technology advanced, the hiring process had to follow suit. Email, Excel spreadsheets, and online forms shifted the process into a digitized system that was able to track job openings, candidates, and their applications. The early ATS software was limited to basic data entry and reports. The bulk of the work of managing applications was still done by humans.

The 1980s brought more advanced features like resume parsing. Systems were still relatively simplistic, but also expensive, difficult to use, and only large corporations with dedicated HR departments could afford the software.

The Internet Era

In the 1990s-2000s, ATS software was able to integrate with internet job boards like Monster and CareerBuilder. The ATS was able to use an algorithm to identify specific criteria like job experience and skills. It gave the applicants a rating based on how closely their resume matched the job description. The higher the rating, the higher the compatibility, allowing HR staff to prioritize those candidates with the highest ratings. This streamlined the hiring process and saved a lot of time.

Present Day

As technology has continued to advance, so has ATS. These advances have also made the software more accessible financially for small businesses to implement. Advances like optimization for use on mobile devices make it easier for candidates to apply for jobs on the go. And instead of integrating with just job boards, the software can connect with social media platforms, thus increasing recruiters’ reach. Modern ATS is capable of tracking more specific metrics, such as time to fill and cost per hire. Not every ATS is the same. There is software available for every budget, and like everything else, you get what you pay for.

Filtering Out Qualified Candidates

There are many instances of ATS making life harder for applicants (and companies looking for great people). 

1. Keyword Matching

The software can only prioritize keyword matching, but it can’t evaluate a human’s potential. This results in strong candidates with transferable skills being rejected outright. This is a nightmare for a solid applicant looking to change careers. 

2. Lack of Judgment

ATS can’t accurately assess a candidate’s soft skills or potential for career growth. Software lacks the ability to accurately assess a person’s career trajectory. Most job descriptions are a wish list the company puts together for the person they need to fill a role. If a person has 60-70% of the skills needed, chances are they can be taught the rest of the job. ATS has no way to determine that, leaving a solid candidate in the lurch. 

3. Inflexible Screening Criteria

ATS can only prioritize rigid qualifications over potential adaptability. Most ATS software in use by small to mid-size companies isn’t customizable enough to allow for broad matching criteria. The software is given specific parameters and looks only for those things. If the software is told to look for ‘customer service’ on a resume, and a candidate has listed ‘customer experience specialist’, it won’t pass the screening. 

4. Format and Template Limitations

ATS software cannot read certain fonts or formats, which means those fancy aesthetic resumes of the late 90s are a no-go. If the software can’t read the format, it can’t parse the information and rejects the resume outright. 

Busting Through the Roadblocks

Now that we’ve told you all the ways ATS is responsible for a broken hiring process, Jobhunter has some tips for overcoming the pitfalls. There are steps that both employers and job seekers can take to work around the limitations of ATS.

Human-Aided Screening is something companies should consider. It offers a ‘best of both worlds’ solution in that the AI tools save time by sorting through a massive number of applications, while human oversight reduces the bias. As stated above, the software looks only for specific keywords and discards everything else. Humans can look for the soft skills and other necessary qualifications that the software cannot recognize. Employers could also consider refining their job postings to be more inclusive of diverse expertise and abilities, thereby attracting a larger pool of applicants, while providing the ATS with broader keyword parameters. In addition, it would be worth the investment for companies to train their hiring staff to better understand the functionality of the ATS they use, including how to work around the software’s bias and limitations.

Tips For Getting Your Resume Past the ATS

When tweaking your resume, modifying the format could be the most important change you make. Here’s a list of things to keep in mind:

1. Your resume should be simple to read and scan through. Stick to easy-to-read fonts such as Arial, Calibri, and Times New Roman. Only use one font for the entire document. 
2. Do not use complex formatting. ATS can’t read graphics, tables, clip art, images, or columns. Stick to a .doc or .docx format. You can also use a word-processor-formatted document saved as a PDF, but don’t use a scanned PDF. The ATS reads that like an image and can’t parse information from an image. 
3. Use a consistent formatting with headings, fonts, bullet points, and punctuation. 
4. Make sure you spellcheck and proofread. The tiny details matter, especially when applying for a position where ‘attention to detail’ is a must. Have a friend or career coach review your resume for clarity and ask them to provide feedback. 

In Summary

Applicant Tracking Systems (ATS) have been around since the 1970s to help streamline the hiring process. As with most technology, it has experienced growing pains and limitations that can sometimes hinder the hiring process it was meant to help. By tweaking the screening criteria, broadening the parameters of keywords, and understanding the limitations of the software, companies can take advantage of the time-saving, streamlined process offered by ATS while not missing out on exceptional candidates. Job seekers can likewise modify their resumes by using easy-to-scan formatting and using synonyms for their skills so they match the wish list in the job description.

Copyright Jobhunter 2025