Can I trust Glassdoor reviews?

On September 2, 2014

In the September 2, 2014 Ask The Headhunter Newsletter, a burned employee sparks controversy about anonymous employer “reviews” on Glassdoor.com:

Have you ever written about Glassdoor reviews? Based in part on positive reviews I read about a start-up company on Glassdoor, I accepted a job. This company was nothing like it presented itself to be. It was terrible. Two months into my tenure, another position came up and I left. (My rule is never to shut down the job search process until I am sure I want to stay somewhere.) It still bothered me that this company was so crappy and I felt I had been taken for a ride.

I had lookeglassdoord at the reviews in Glassdoor prior to the interview and, though there were negative reviews, there were overwhelmingly positive ones as well. I was concerned about the negative reviews, so I brought it up in my interview. The recruiter stated that the office prided itself on being different from its corporate parent, and he felt I was a good fit. So I took the job.

Here’s why I’m asking about Glassdoor. After I quit the start-up, I continued to follow the company on Glassdoor and checked LinkedIn to see what kind of turnover they had. It turned out some of the people hired during my time have since left. Strangely, when a negative review shows up, an overwhelmingly positive one shows up within a week. Interestingly enough, two of the most current negative comments say that HR is posting its own positive reviews! The recruiter I worked with left after a year. So, are these reviews worth anything? What do you think?

Nick’s Reply

I’ve never written about Glassdoor.com because I think its business is worthless except as a generator of revenue. At best, this public database of anonymous reviews about employers is a curiosity. (I’m skeptical about any kind of anonymous reviews, even on Amazon.) The very idea of a website that encourages people to anonymously critique employers is ludicrous and irresponsible. I think its use is widespread because it makes money. That fact impresses HR executives and the public, leading them all to base business decisions on admittedly untrustworthy information.

Just think about it: Any disgruntled employee or job applicant can trash a company publicly. An HR department can spam Glassdoor, singing its own praises. (It seems this happened with the company you quit.) Honest comments will get lost. Meanwhile, Glassdoor has no incentive to keep it all clean by making participants accountable. (The argument for anonymity is that people wouldn’t post honest comments if employers knew who they were. Duh. That justifies graffiti?) They make money with every posting. That’s how Glassdoor is like the job boards.

In fact, Glassdoor is a job board. (Like LinkedIn, the site uses the honeypot of “community” to lure you into an ulterior revenue model. See LinkedIn: Just another job board.) Employers pay to post their jobs. Where does the job seeker traffic come from? Job seekers show up every day that Glassdoor dangles its clever bait: “Come share your reviews and salary information — anonymously. Then look at job postings!” The revenue model is built on unverified reviews and unverified salary data. (Imagine if Glassdoor’s business model were legitimate: It would pay you for your honest reviews and salary information.)

In other words, HR departments pay Glassdoor to subsidize anonymous ratings and salary surveys. You suggested that HR departments use fake IDs to give their own companies good reviews I don’t doubt it.

The obvious problem is that, when no one is accountable for praise or complaints, every comment on Glassdoor is suspect. Your experience with the terrible start-up highlights the problem. Anyone can create an account without anything but an e-mail address. If Glassdoor were to require true identities, it would be another story. But it’s not.

Along the same lines of Glassdoor is a new app created by the founder of TheLadders, Marc Cenedella. He basically lifted Glassdoor’s concept and made it more personal. Knozen.com lets people post anonymous comments about their coworkers’ personalities. That’s more of a bathroom wall than even Glassdoor. I can’t wait for more lawsuits.

Reading anonymous customer reviews when you buy a camera or a waffle iron is one thing — if you make a mistake, you’re out a few bucks. But when you’re checking out an employer, due diligence is crucial. We’re talking about your career and your income. Check credible sources. Your best bet is always to seek out current and former employees at a company to learn the truth — but make sure they have real names. In Fearless Job Hunting, Book 5: Get The Right Employer’s Attention, you’ll learn the powerful “scuttlebutt” method of researching even privately held companies — by talking to their competitors (pp. 22-24).

Here’s another important tip from the same book, in the section titled “How to pick worthy companies” (pp. 10-12):

Talk to the company’s customers and vendors
This is where you will find the hidden skeletons, and you will learn who are the real decision-makers in the company. This is also where you may find a hidden opportunity. It might not be with your target company, but with one of its customers or vendors, or with some other associated company. By extending your research and meetings to such companies, you’ll get a valuable, industry-wide view — not just of your target company, but of the work you want to do.

It’s not so hard to evaluate an employer. Invest the time to do it right next time, because anonymous reviews of employers can get you into serious trouble.

Is it real, or is it crap? The reader in today’s Q&A learned the hard way that, if information smells, it’s probably crap. Would you trust anonymous reviews and salary surveys to make a career decision?

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WTF! Inflatable Interviewer Dolls?

On July 28, 2014

In the July 29, 2014 Ask The Headhunter Newsletter, a reader doesn’t feel like doing a solo job interview:

What do you think of an employer that uses a video service such as Montage to conduct its pre-screening of job candidates? I was recently asked to do this and found the experience awful. You don’t get to hear responses played back before submitting them, and there is no conversation with the interviewer.

Nick’s Reply

inflatable_manI think it’s bulltarkus. Any company that asks you to do an interview by yourself on video might as well hire an inflatable doll. If an employer asks you to invest your time to apply for a job while it avoids investing time in you, think twice before doing it.

In fact, I think the decision to interview you by yourself on video was made by an HR doll that was inflated by a very lonely venture capitalist who will end up unsatisfied. It’s all overblown.

The Journal Sentinel reported that Montage — the Talk To The Doll App you’ve encountered — was funded to the tune of $4 million by Baird Venture Partners and — get this — the State of Wisconsin Investment Board. All you need to know is this comment posted to the article: “Very simple technology that will have little value in the future. It’s a groomed Skype with recording abilities.”

Montage is a “solution” that only a puffed-up HR executive with too big a budget could love. Next time, insist that a human show up to interview you.

WTF is up with venture capitalists (VCs), anyway? Didn’t we just cover a bunch of venture embarrassments in the recruiting space? The Stupid Recruiting Apps just keep coming, and you need to watch out for them.

Montage is just one notch up from another new app, Yo. According to The New York Times, Yo raised $1.5 million from Betaworks and other investors. Yo makes a “new smart phone app whose sole purpose is to let people send text messages saying ‘Yo.’”

“People think it’s just an app that says ‘Yo.’ But it’s really not,” said Mr. Arbel, one of Yo’s founders.

Rumor is that several Fortune 500 employers will be notifying job applicants whether or not they were hired with one word: Yo. “We like to call it context-based messaging,” says Arbel. “You understand by the context what is being said.”

Ask The Headhunter readers will be relieved to get any sort of feedback after their job interviews. (See Question 4 in 4 Tips for Fearless Job Hunters.) But, can’t we send one-word Tweets without having an app that sends only one word? Yes?

cenedellaThis is not to suggest there aren’t some seasoned recruiting industry veterans getting funded today. The former CEO of TheLadders, Marc Cenedella, has what’s probably the winning entry in the Totally Useless Apps category — Knozen. Business Insider says it’s “a new iPhone app that lets coworkers rate each other’s personalities anonymously… it’s like Yelp is for restaurants.”

I’d rather have an employment app that’s like OpenTable — it would guarantee me a place at the table! VCs including FirstMark Capital, Lerer Ventures and Greycroft Partners gave Cenedella $2.25 million. And here’s where you — the job seeker — come in. Business Insider reports that, “Eventually, Cenedella wants his app to become a ‘personality API’ that businesses can tap into during the recruitment process.”

Uh-oh — Cenedella is talking tech: API. So’s Yo investor John Borthwick: “over time [Yo] has the potential to become a platform.”

You can’t make this stuff up. “Cenedella feels Knozen is an extension of the work he was doing at The Ladders, a career site that matched executives with job opportunities that paid six-figures.”

And how’s Cenedella’s last start-up faring? Today TheLadders is fighting a consumer class action in Southern New York District Court for breach of contract and deceptive practices. Word is his lawyer dolls are keeping Mr. C. out of breath.

“The Ladders was about showing the intangible qualities of yourself to employers,” says Cenedella. Yah — actually, it was about letting you lie about your salary to employers so they’d interview you for “$100K+ jobs.” (See TheLadders: Job-board salary fraud?) Does Knozen somehow guarantee honesty?

How does Cenedella explain that TheLadders is now a Hazbeen while Knozen is new and cool? “I got more interested in how people present themselves when they’re already in a job, not hunting for it.” No shit. One Business Insider comment sums up this start-up: “Stupid app. Nark app.”

I usually limit the levity and try to rise above all this. But when:

  • We start talking about a single word “that over time has the potential to become a platform;”
  • Employers want to snooze while you talk to the hand about a job; and,
  • A discredited recruiting entrepreneur gets over $2 million from venture capitalists…

Then it’s impossible to keep a straight face. We’re talking about a total of about $8 million worth of phony “recruiting technology” that you might face when you apply for a job.

So what’s my advice? Do what my mentor Harry Hamlin taught me: Use your judgment, and do the best you can. Then remember what my other mentor, Gene Webb, said: “Never work with jerks.” And don’t talk to inflatable doll interviewers.

Are new recruiting apps helping you land a job? Who’s become more stupid — venture capitalists, or employers? Want to buy an inflatable doll from me — to send to your interviews?

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