Why 75% of Resumes Go Unread—And How Outplacement Can Help

As HR professionals, you’re no stranger to how much the hiring landscape has changed. But for many employees going through a layoff, especially those who haven’t job searched in several years, the rise of applicant tracking systems (ATS) can feel confusing, intimidating, and even discouraging.

That’s why it’s important for your outplacement partner to offer more comprehensive, up-to-date resume support that reflects how hiring works today.

At Careerminds, we ensure that every participant understands how to create an ATS-friendly resume that can stand up to both modern technology and real-world recruiter expectations.

Here’s what you should know.

An applicant tracking system (ATS) is software used by employers to collect, organize, and search resumes. It helps hiring teams manage large volumes of applications efficiently by parsing resumes into searchable fields, such as job titles, skills, and education.

According to recent data, the ATS landscape is not static, but rather continues to expand:

• The global ATS market is valued at $2.9 billion and growing.
• As of 2022, nearly 99 percent of Fortune 500 companies use an ATS.
• Over 75 percent of resumes never get seen by the recruiter.
• Employers using an ATS report 60 percent faster hiring timelines, meaning resumes have less time to make an impact.

These stats underscore why a generic resume no longer cuts it and why HR leaders should ensure that any outplacement provider they partner with understands and supports ATS-readiness.

While many job seekers worry that an ATS will automatically reject them, the reality is more nuanced. Most systems don’t reject candidates outright, but resumes that aren’t properly formatted or aligned with the job description often don’t make it to the top of the search results.

That’s why proper resume formatting and keyword alignment are so important. It’s also why generic resume templates and guidance so often fail.

Looking for an outplacement provider who can help your impacted employees navigate modern resume writing? Click below to speak with Careerminds experts and learn how our integration with career.io provides participants with the latest in resume writing tips, tools, and templates.

Outplacement services are most effective when they help people cut through confusion and misinformation. And when it comes to ATS software, there’s a lot of it.

Here are some of the most common myths that we help job seekers move past:

False. Most systems don’t reject candidates outright. However, resumes that don’t align with the job’s keywords or requirements may not show up for recruiters when they search. This means that the application gets overlooked, not rejected.

Visual elements like graphics, logos, and tables can actually break ATS functionality. Our outplacement coaches help job seekers remove any confusing or cumbersome formatting to present a clean, readable resume layout that still looks professional.

Resume keyword stuffing can work against you. Instead, we coach job seekers to naturally incorporate relevant terms from the job posting like “project management,” “sales strategy,” or “CRM tools” without sounding robotic or repetitive.

By dispelling these myths and teaching modern resume strategies, we make sure that your outgoing employees aren’t caught off guard by the tools that now dominate the hiring process.

One of the most significant sources of confusion for job seekers today isn’t the ATS; it’s the automated filters embedded in online applications.

Many platforms now use pre-screening questions to filter candidates based on:

• Work authorization or visa status.
• Willingness to relocate.
• Salary expectations.
• Years of experience with specific tools or certifications.

If an applicant can’t satisfy any of these questions, their application might be automatically flagged or removed, even if their resume is perfect.

That’s why Careerminds doesn’t just help people write better resumes. We also coach job seekers on how to navigate tricky online applications, follow up with recruiters after applying, and spot red flags in job postings.

If you’re looking for the right partner to help you with outplacement coaching support for your impacted employees, click below to download our free comparison sheet and see how we stack up against other providers.

Here are some of the resume strategies we teach job seekers in our one-on-one outplacement coaching:

• Using simple formatting: No tables, text boxes, or columns. Clear headings like “Experience,” “Skills,” and “Education” help both the ATS software and the recruiter scan efficiently.
• Avoiding key information in headers or footers: Many ATS platforms don’t read those sections correctly—so contact information, job titles, and key qualifications or certifications should go in the main body of the document.
• Tailoring resumes to the job description: We show job seekers how to mirror language from each job posting—without copying and pasting—so that their experience reads as highly relevant.
• Using the right file format: A .docx or clean, text-based PDF is usually best. We even recommend a simple copy/paste test: if the resume can be pasted cleanly into a blank document, it’s likely to parse correctly in most ATS tools.

This guidance doesn’t just come in a checklist. Our coaches work directly with each job seeker to apply these strategies in a way that’s specific to their industry and role.

When choosing an outplacement provider, it’s not enough to offer resume templates or generic advice. Effective outplacement requires a deep understanding of how hiring works in real time, including how ATS tools affect candidate visibility.

By partnering with Careerminds, you’re giving your employees access to expert support that reflects the latest in recruiting technology and hiring trends. We’re here to ensure that their resumes aren’t just nice-looking, but also strategic, searchable, and built to compete.

Here are the key takeaways:

• Nearly all (99 percent) of Fortune 500 companies use applicant tracking systems (ATS), and the global ATS market is approaching $3 billion, emphasizing how critical it is for job seekers to understand and adapt to these tools.
• More than 75 percent of resumes parsed by ATS are never seen by a human due to formatting issues or keyword mismatches.
• Employers using an ATS report up to 60 percent faster hiring timelines. This means that job seekers must make a more immediate and clear impression on both the system and the recruiter.
• Common misconceptions, such as ATS auto-rejecting candidates, the value of design-heavy resumes, or the need to keyword-stuff, can derail a job seeker’s chances.
• Auto-rejections are usually caused by disqualifying answers to pre-screening questions in online applications, not by the ATS itself.

Without professional guidance, job seekers risk submitting resumes that are never seen, causing uncertainty, frustration, and prolonging unemployment. At Careerminds, we ensure that every participant receives personalized, expert support in building clean and effective resumes that are designed to work with, not against, ATS software.

Click below to speak with one of our experts and learn more about our industry-leading outplacement services that boast an 80 percent engagement rate, 95 percent placement rate, and whopping 99 percent satisfaction rate.