I am currently applying for an entry-level position at a FAANG company. I had "in-person" remote interviews a few weeks ago. I was told that I passed, and I should expect some "team fit" interviews the following week.
Except over the intervening weeks, I've had zero team fit interviews, because - as far as I can tell - the recruiter handling me hasn't been able to persuade even a single manager to agree to an interview. This is not a situation that screams "we are experiencing a worker shortage, and we will even lower ourselves to hire inexperienced workers that we have to train". It would tend to suggest that the company is swimming in far more applicants than it wants for every role.
In December, I applied to a number of blue chip companies for frontend positions and only got callbacks to three of them despite a lot of work experience writing JS for real applications including a YC company. Some YC companies also said to me they wanted someone more experienced in Vue/React instead of potentially allowing me time and space to ramp up my knowledge of it. So clearly there were other applicants who had both a lot of work experience AND the precise tech knowledge they needed, so they didn't have to take a risk on someone who didn't perfectly fit the position.
I eventually landed a dream position, but a huge reason why they looked at my application in the first place was because I knew of a long time employee. Obviously I had to pass the technical and behavior interviews, but they had a deluge of applicants and my application would've been lost to the ether had it not been for that connection.
These companies are meant to be heavily taxed for how much they are taking from society, with those taxes put back into education. Yet here we are.
The fact that there is a talent shortage seems to point to a long-term issue regarding barriers to entry across the industry.