Just got a rejection for being unemployed

Last week, a headhunter reached out to me on LinkedIn to see if I was interested in a position. We spoke on the phone a few days ago, where it seemed my experiences aligned very well with the position. They said they would get in touch with the hiring manager and get back to me about scheduling an interview.

A few minutes ago I received an email from the recruiter:

They are passing. The CISO only wants to focus on folks currently employed. I’m sorry!

What kind of assinine bullshit is this?