The company that does job interviews for AmEx, Citi, and Walmart says you’ll miss out on the best candidates if you won’t meet people after-hours

It’s no secret that tech has a diversity problem. And despite years of efforts to increase representation in the sector, there’s still a lot of room for progress: Women comprise just 26.9% of all computer and mathematical occupations, including computer programmers, software developers, and web developers, according to 2023 U.S. Bureau of Labor Statistics data. And 63.5% of these roles were held by white people.

But tech recruiting provider Karat argues there’s a simple solution to getting more diverse candidates in the door to begin with: scheduling off-hour job interviews.

Karat, headquartered in Seattle, conducts virtual job interviews for companies including American Express, Citi, and Walmart using a network of freelance software engineers who hold interviews for that position. Companies provide Karat with a list of candidates and the qualifications they’re looking for, while interviewers rate candidates after speaking with them. Karat then recommends which candidates should progress to the next round.

But unlike most companies, Karat offers interviews at literally any time of the day or night. Interviewers post their availability, and candidates can select a time that works best for them. Given that Karat’s interviewer network spans 70 countries, there are interviewers available at all times—including after business hours or on the weekend. 

This unorthodox approach has offered up some particularly interesting takeaways when it comes to recruiting for diversity. “It is hugely beneficial to women of color,” Jeff Spector, Karat’s cofounder and president, tells Fortune. “They’re more likely to schedule in off-hours, and they’re the most likely to perform well in those off hours.”

Karat has found that 42% of women of color scheduled their job interview outside of their own core business hours, around 20% more than candidates overall. They also reported having the best experience getting interviewed, with 90% reporting a positive experience compared to 85% of all candidates. And around 79% of women of color mentioned “convenient scheduling” when giving feedback about Karat’s interview process. That positive response alone is enough for companies to reconsider their own job interview processes, according to Spector.

“You should add time slots that are more convenient for your candidates,” he says. “It’s better for the candidates and actually better for you, because you’re gonna end up having more efficient processes. It’s one of those things where people will want to go through faster, they will want to accept your offers at higher rates.”

Spector adds that companies don’t have to demand that job interviewers make themselves available until midnight every night. Something as simple as holding interviews on Saturday mornings could suffice to widen the applicant pool.

Besides off-hours scheduling, Karat also allows candidates to redo interviews, giving them a second chance if they think the first interview went poorly. Companies that allow job seekers to retake interviews see a 17% increase in their hiring yield, or the percentage of individuals that are ultimately hired from a given candidate pool. 

The “redo” feature has a big upside for women candidates in particular. Around 22% of women and non-binary job seekers take a redo, compared to 18% of men, according to data from Karat. And around 87% of women and non-binary candidates who took a redo accepted a job offer, compared to 67% who did not. The gap for men was much lower: Those who redid their interview had an acceptance rate of 77%, compared to 74% who did not.  

“We advocate for every company to offer redos,” says Spector. “We find it’s as efficient for companies in their hiring funnel to redo candidates as it is to source and interview new candidates.”

Paige McGlauflin
paige.mcglauflin@fortune.com
@paidion

Today’s edition was curated by Emma Burleigh.

March 20, 2024: This story has been updated to reflect that the acceptance rate for women who redo their job interviews with Karat is 87%.

Around the Table

A round-up of the most important HR headlines.

- One medical technology firm managed to avoid layoffs despite a drop in demand by being strict about hiring and focusing on burnout. Wall Street Journal

- Consumer goods company Unilever will cut 7,500 jobs and spin off its ice cream unit, which includes brands like Ben & Jerry’s and Magnum, over the next three years. The Guardian

- Japan’s economy is growing because more women are entering the labor market thanks to policy tweaks. New York Times

Watercooler

Everything you need to know from Fortune.

Money fight. Reddit’s CEO defended his $193 million pay package despite relying on volunteers to moderate the website. —Orianna Rosa Royle

Proximity bias. Dell will now only offer career advancement opportunities for its hybrid workers who go into the office at least three days a week. —Paolo Confino

DEI diatribe. Days after settling a Tesla racial discrimination lawsuit, Elon Musk slammed DEI initiatives, saying “trying to make everything a race issue is divisive and corrosive.” —Sasha Rogelberg

Eat the rich. Despite tech, media, and finance companies laying off their workers en mass, their CEOs and shareholders are raking in big salaries and profits. —Chloe Berger