[mchannon]

You're asking the wrong question. Instead of "should we do the opposite of what the coding test tells us?" you should ask "should we require coding tests at all?"

Some candidates can't code, but most companies throw the baby out with the bathwater. They don't realize the candidates they want simply refuse to interview because the process is insulting, and there's little correlation between demonstrated talent and an offer (a hard-to-accept fact that you've helped validate with your post).

The candidates they're left with are the desperate and the only hires are clones of the interviewer.