This is the way to go. Still do the usual screening and interviews (hopefully without incompetent recruiters in the middle) but then pay the developer fairly for a small project and see how it goes. Repeat if necessary.
The only problem I've seen with this approach is where the applicant is legitimately pressured for time by their current work or family issues. Being understanding and working out how to extend the trial period will get you through most of these.
In countries (like mine) that don't have at-will employment it amazes me that employers don't insist on this approach. Instead - weird filtering by recruiters, overly specific interview questions and then disappointment when recruiting goals aren't being met and stress when developers who aren't a good fit are stuck with the team for years.
The only problem I've seen with this approach is where the applicant is legitimately pressured for time by their current work or family issues. Being understanding and working out how to extend the trial period will get you through most of these.
In countries (like mine) that don't have at-will employment it amazes me that employers don't insist on this approach. Instead - weird filtering by recruiters, overly specific interview questions and then disappointment when recruiting goals aren't being met and stress when developers who aren't a good fit are stuck with the team for years.