Comment by atregir

This is not so much the case in my experience (Europe). People here do not start new companies that frequently (as is the culture in the US, I think). Many people switch companies and while they can refer you at their new company (and they do), you still have to go through the interviewing process. My own experience: My first job I was approached by one of my Uni professors that had a small company, to work for them. Second job (while still doing my masters at Uni) I had to go through an actual exam for a big company in my country. I found out about it at the Uni (they'd post everywhere they were looking). Third job found on Stack Overflow. Current job found on LinkedIn.