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Seems like an American thing to completely overdo the process. We have interviews i Europe too, but they are not insane and you don't have to have algorithm knowledge to be a programmer in most companies.
If you are talking about big tech, sure, they are inventing ways to find the absolute top candidates since they have millions of applications.
Yeah, I'm an industrial automation tech, so my kind of programming is different from what is done in information technology, but I've never been asked to complete exercises during an interview.
I switched from controls engineering to information technology - in industrial automation interviews not once was I asked to prove my knowledge about PLCs or anything like that, they trusted my education and experience.
The interviews in information technology were like "make us a working app for free before we have a second round of interviews" even after few years of previous experience in their specific field and a repository to show off my free-time projects.
I switched because I got tired of traveling, but holy shit I miss the job market of industrial automation. I still feel like I got more respect working in automation field than I have ever gotten working as a software developer.
I think industry jobs are more... Grounded. If you look like you're not an idiot and you're not lazy, you're hired; whatever you don't know can be learned on the job.
At least that's how it is in my area.
Definitely, good way to put it.