How ATS Works in 2025 - Beat the 75% Rejection Rate

Understanding Applicant Tracking Systems is the key to getting more interviews

Learn why 75% of resumes get rejected and how to beat the bots

What is an ATS?

An Applicant Tracking System (ATS) is software that companies use to manage their hiring process. Instead of manually reading hundreds of resumes, the ATS automatically collects, scans, and ranks applications based on how well they match the job requirements.

Think of it as a robot gatekeeper. Before your resume reaches a human recruiter, it must first pass through the ATS filters. If your resume doesn't score high enough, it never gets seen - no matter how qualified you are.

75%
of resumes rejected by ATS
99.7%
of Fortune 500 use ATS
23hrs
saved per hire with ATS

How ATS Scans Your Resume

1

Parsing

ATS reads your resume and extracts information into structured fields: name, contact info, work history, education, skills. Complex formatting can confuse this step.

2

Keyword Matching

The system compares your resume against keywords from the job description. It looks for exact matches of required skills, tools, technologies, and qualifications.

3

Scoring

Based on keyword matches, experience level, education, and other criteria, ATS assigns you a match score (typically 0-100%). Higher scores = higher ranking.

4

Filtering

Candidates below the score threshold (usually 60-70%) are automatically filtered out. Only top scorers reach human recruiters.

5

Ranking

Remaining candidates are ranked by score. Recruiters review top 10-20 candidates first, often ignoring lower-ranked applicants.

What ATS Systems Look For

๐Ÿ”‘

Keywords from Job Description

  • โ€ขTechnical skills (Python, Excel, AWS)
  • โ€ขSoft skills (leadership, communication)
  • โ€ขIndustry terms (HIPAA, Agile, B2B)
  • โ€ขCertifications (PMP, CPA, AWS Certified)
  • โ€ขExact job title or similar roles
๐Ÿ“Š

Experience Requirements

  • โ€ขYears of experience in specific roles
  • โ€ขSeniority level (Junior, Senior, Manager)
  • โ€ขIndustry background
  • โ€ขCompany types (startup, enterprise, etc.)
  • โ€ขProject scale and impact
๐ŸŽ“

Education & Credentials

  • โ€ขDegree type (Bachelor's, Master's, PhD)
  • โ€ขField of study
  • โ€ขCertifications and licenses
  • โ€ขRelevant training programs
  • โ€ขGPA (if specified)
๐Ÿ“

Resume Structure

  • โ€ขStandard section headings
  • โ€ขClear job titles and dates
  • โ€ขChronological work history
  • โ€ขQuantified achievements
  • โ€ขSimple, parseable formatting

Top 10 ATS Mistakes That Get Resumes Rejected

1

โŒUsing Graphics, Images, or Charts

Why it fails: ATS can't read images. All information in graphics is invisible to the system.

โœ… Fix: Replace visuals with text. Use bullet points instead of charts.

2

โŒComplex Formatting (Tables, Columns, Text Boxes)

Why it fails: ATS reads left-to-right, top-to-bottom. Tables/columns confuse the parsing order.

โœ… Fix: Use single-column layout with standard formatting.

3

โŒCreative Section Names ("My Journey" instead of "Experience")

Why it fails: ATS looks for standard headers like "Work Experience", "Skills", "Education".

โœ… Fix: Use conventional section headings.

4

โŒFancy Fonts or Unusual Typography

Why it fails: ATS may not recognize non-standard fonts, causing parsing errors.

โœ… Fix: Stick to Arial, Calibri, Times New Roman, or Helvetica.

5

โŒMissing Keywords from Job Description

Why it fails: ATS scores based on keyword matches. No keywords = low score = rejection.

โœ… Fix: Mirror language from job posting throughout resume.

6

โŒAbbreviations Without Full Terms

Why it fails: If job says "Search Engine Optimization" and you only write "SEO", ATS might miss it.

โœ… Fix: Write "Search Engine Optimization (SEO)" to match both.

7

โŒPDFs with Embedded Images or Scanned Documents

Why it fails: ATS can't extract text from images or scans.

โœ… Fix: Use native PDF (not scanned) or .docx format.

8

โŒHeaders/Footers with Critical Info

Why it fails: Many ATS systems ignore header/footer content entirely.

โœ… Fix: Put contact info and all important details in main body.

9

โŒInconsistent Date Formatting

Why it fails: ATS tries to calculate employment gaps. Inconsistent dates confuse the system.

โœ… Fix: Use same format throughout: "Jan 2020 - Dec 2022".

10

โŒSkills Buried in Paragraphs

Why it fails: ATS scans for skills in dedicated sections. Skills hidden in paragraphs get lower weight.

โœ… Fix: Create clear "Skills" section with bullet points.

Most Popular ATS Systems in 2025

Workday

Market Share: 45%
Used by: Fortune 500, Enterprise

Taleo (Oracle)

Market Share: 20%
Used by: Large corporations

Greenhouse

Market Share: 12%
Used by: Tech startups, Scale-ups

Lever

Market Share: 8%
Used by: Tech companies, Startups

iCIMS

Market Share: 6%
Used by: Mid-large companies

Jobvite

Market Share: 5%
Used by: Mid-market companies

BambooHR

Market Share: 3%
Used by: SMBs

SmartRecruiters

Market Share: 1%
Used by: Various

How to Beat ATS: 8-Step Checklist

โœ“

Use standard section headers: "Work Experience", "Education", "Skills", "Summary"

โœ“

Include keywords from job description naturally throughout resume

โœ“

Use simple, single-column layout with no tables or text boxes

โœ“

Stick to standard fonts: Arial, Calibri, Helvetica, Times New Roman

โœ“

Include both acronyms and full terms: "Search Engine Optimization (SEO)"

โœ“

Quantify achievements with numbers and metrics

โœ“

Match your job titles to similar roles in the posting

โœ“

Save as .docx or simple PDF (not scanned image)

Want to Test Your Resume Against ATS?

Use our free ATS Resume Checker to see how well your resume scores. Get instant feedback on keywords, formatting, and recommendations to improve your ATS pass rate.

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