economy

AI Is Gutting Cover Letters — Here's When to Still Write One

Summarized from MarketWatch.com - Top Stories

Cover letters are becoming obsolete thanks to AI, but knowing when to use one can still give job seekers an edge.

The cover letter is dying, and AI is holding the murder weapon. Hiring managers are drowning in AI-generated applications, and the traditional cover letter has become little more than digital noise in an already-overcrowded inbox. One blunt assessment sums it up: 'For really everyone other than AI providers, the process is broken.'

Here's the tradeable insight — broken processes create arbitrage opportunities. While every other candidate fires off a ChatGPT-polished cover letter that reads exactly like every other ChatGPT-polished cover letter, you have a window. Standing out has never been easier, but only if you know when to actually play the card.

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The times a cover letter still moves the needle are specific and limited. Think small companies where a human — not an ATS algorithm — opens your email first. Think roles where writing IS the skill being tested. Think referral situations where someone inside already vouched for you and the cover letter is the first real impression you make on the hiring manager directly.

For mass applications to large corporations with automated screening systems? Save your energy. The cover letter gets parsed by software that doesn't care about your authentic voice or compelling narrative. Your time is better spent optimizing your resume for keywords and building actual relationships inside target companies.

The meta-play here is simple: treat the cover letter like any other scarce resource. Deploy it selectively, make it hyper-specific, and never let it sound like it came from a machine — because at this point, everything else already does. Continue reading at MarketWatch.com

Frequently Asked Questions

Q.Is it still worth writing a cover letter in 2024?

It depends on the situation. Cover letters still carry weight at smaller companies or for roles where writing is the core skill being evaluated, but they are largely ineffective for mass corporate applications with automated screening.

Q.How is AI affecting the hiring process for job seekers?

AI-generated applications have flooded hiring pipelines, making it harder for any single application to stand out. The process has been described as broken for nearly everyone except AI providers themselves.

Q.When should you skip the cover letter entirely?

Skip it when applying to large corporations that use applicant tracking systems, where automated software screens submissions before any human sees them. In those cases, keyword-optimized resumes and internal referrals are more effective.

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