Isn't it entirely possible the guy went to an interview under the assumption that, since he had 3500TT, he was interviewing for a CQFO spot? When, in reality, he was just invited to an interview?

Also, the CQFO isn't a management tactic. It's a union restriction. The company originally wanted to hire street captains but there is a section in the contract that prohibits them from doing so. They wanted relief on it but the union said no. They wouldn't even be doing this program if more of their FOs were eligible to upgrade. The fact is, as of the last bid, only 16 FOs had a standing bid in for Captain.