So now every company does a technical screen that weeds out a large percentage of people, then randomly chooses to waste some more people's time by dragging them through an interview. Everyone wastes more time but they can say they interviewed a lot of people.
I'm not saying this behavior isn't bad, to the extent that it actually really exists. I'm just not sure making it illegal is the right move. Why not let the market take care of it? You can usually see if a company is growing or not. If this becomes such a common phenomenon that that's a problem, you can usually explicitly ask, or there will be industry sources that can tell you if a company is growing or not.
As if people's time isn't already wasted by fake job listings?
The market isn't actually very good at fixing issues like these, and in fact caused the issue in this case (defrauding investors makes number go up which makes market happy but people sad), which is why you would regulate it.
I'm not saying this behavior isn't bad, to the extent that it actually really exists. I'm just not sure making it illegal is the right move. Why not let the market take care of it? You can usually see if a company is growing or not. If this becomes such a common phenomenon that that's a problem, you can usually explicitly ask, or there will be industry sources that can tell you if a company is growing or not.