I don't think it's a non-competitive environment, but that the interests are out of alignment. The penalty for the manager who makes a bad hire is a lot worse than the manager who fails to make a hire.

And we also have the same problem that plagues modern life: the glut of choices leading people to think they can do better than they can. The pool is effectively infinite, there must be a better option somewhere. Companies don't hire. Dating has become very hard. Both lie behind very superficial screening gates that do not represent actual value.