Could LinkedIn, with its more than 300 million members, become more useful to recruiters and hiring managers, as well as job seekers, as a result of their recent acquisition of Careerify? That's the idea, according to both companies. 

Careerify was founded in 2009 by Harpaul Sambhi with a simple mission to "disrupt traditional HR technology."

Over the past few years, the Toronto-based company built a talent acquisition platform for managing employee referrals, internal mobility, and employer branding. 

Social Recruiting

But as Kabbage reports, they are best known for being pioneers in the “social recruiting” space, enabling your existing employees to tap into their social networks and find new talent. 

Their tools scour online communities for individuals who would be the ideal fit for job openings at your company.

The product also directs current employees to other job openings at your firm. These two features help you achieve the important goals of onboarding and retaining your best employees.

Employee Referrals

Many recruiters and hiring managers feel that today employee referrals are the most useful way of finding the best candidates for the job.

The Undercover Recruiter has some factoids to support that notion:

  • The average employee will have 150 contacts on social media networks – 100 employees means around 15,000 contacts (and possible candidates).
  • Employee referrals have the highest applicant to hire conversion rate – only 7% apply but this accounts for 40% of all hires.
  • Applicants hired from a referral begin their position quicker than applicants found via job boards and career sites (after 29 days compared with 39 days via job boards and 55 via career sites).
  • Referral hires have greater job satisfaction and stay longer at companies – 46% stay over 1 year, 45% over 2 years and 47% over 3 years.
  • Sales people are the most hired position from employee referrals.
  • 67% of employers and recruiters said the recruiting process was shorter, and 51% said it was less to expensive to recruit via referrals.

  • Careerify says it is no longer accepting new customers. However, their tools will be integrated into LinkedIn over the next few months and eventually released to all LinkedIn users.

    Venture Beat reports that as part of LinkedIn, "Careerify’s tools could become the basis for new tools that could become available to far more companies as part of LinkedIn’s consumer-facing service."

    Careerify’s founder and chief executive wrote in his own blog post why he did the deal. 

    "We decided to join LinkedIn due to what we lacked – massive scale," said Sambhi. "More than 30,000 companies across the globe leverage LinkedIn for recruitment, and with more than 347 million members, LinkedIn offers an opportunity to make a much larger impact on job seeking and hiring. We are absolutely thrilled to be joining LinkedIn to accelerate our technology and connect talent with opportunity on a massive scale."