Using AI in Recruitment: Insights for HRD

Abstract: The controversy around Human Resource Development (HRD) professionals using artificial intelligence (AI) in various HR processes is ongoing. Questions of ethics and AI arise with the selection of job candidates and with promotion within organizations (Muller, 2021). However, the digital revolution and AI solutions allow for a change in the efficiency of an organization, which is particularly important for companies operating in an environment with an elevated level of competitiveness (Kurek, 2021). This poster discusses the legal ramifications, benefits, and drawbacks of HRD professionals using AI during recruitment and talent acquisition, specifically.
Introduction
After decades of hype, the era of AI is upon us and organizations must be ready for the change if they want to remain competitive. With some foresight and initiative, HRD can spearhead that change (Britt, 2019). Most organizations are eager to implement AI solutions with the potential to optimize HRD processes and reduce their overall cost. Machine Learning (ML) has many applications, including using data science to optimize job postings and natural language processing to identify keywords or phrases that can attract candidates to employment postings, as well as chatbots to improve customer service for job applicants (Shutan, 2020). These applications are consistently evolving. Nawaz (2020) explains how facial recognition software is utilized in interviews, from culture fit to personality screening. According to PwC’s AI Predictions, 58% of survey respondents have increased investment in AI for workforce planning, and 86% think AI will be a “mainstream technology” at their company in 2021 (PwC, 2021). These tools offer the ability to keep the organization in a tight talent landscape (Lakshmi et al., 2020).
Benefits of AI in Recruitment
AI has changed the game of recruitment. Cognitive tools and AI have redefined jobs, dramatically enhanced employee productivity, and accelerated workforce development (Britt, 2019). As a result, AI has produced a disruptive change to the workforce, transformed the work environment, and changed what is expected of many HRD professionals. The AI era underscores the challenge organizations face in recruiting, developing, and retaining human talent that can adapt to changing technology and societal norms (Britt, 2019). Solutions based on AI are becoming an integral part of every process in an organization, especially personnel processes (Kurek, 2021). Therefore, businesses that want to be competitive and attract the best candidates must change their recruiting efforts and use AI.
Drawbacks of AI in Recruitment
Goretzko and Finja Israel (2022) outline the appeal of AI by stating that “(t)he automation of the tedious steps of the recruitment and hiring process promises to speed up, simplify, and objectify certain parts of personnel selection, but also comes with some potential downsides and some severe risks.” The risks include the legal implications of using AI or ML in selecting personnel when the organization does not understand how the results are generated. For example, in 2015, Amazon discovered an algorithm that inherited a preference for male over female applicants (Dastin, 2018, as cited in Goretzko and Finja Israel, 2022). AI solutions have the potential to inherit human bias in their algorithms and HRD professionals must investigate the ethical challenges and risks that are associated with AI-powered recruitment (Hunkenschroer & Luetge, 2022). It is an organization’s responsibility to understand the tools HRD professionals use to influence staffing decisions.
Solutions for HRD and Conclusion
Technology is changing many aspects of HRD’s recruitment process. But are these disruptive technologies a threat to HRD professionals? How can HRD professionals reap the benefits and overcome the hindrance of using AI and ML in recruitment?
Implementing AI solutions in the organization allows for streamlined operations, reduced time on specific tasks, and managing HR better (Kappes, 2018). HRD departments and recruiting firms that have adopted AI software to aid recruitment have experienced significantly reduced costs per hire and decreased turnover (Kappes, 2018). AI software can provide HRD professionals with an advantage in hiring qualified candidates that match the corporate culture (Oracle, 2021).
However, we cannot ignore AI’s potential biases and legal ramifications. Goretzko and Finja Israel (2022) have outlined challenges that must be addressed to ensure that AI is not instituting or continuing biased decisions. When creating ML tools for staffing, it is vital to consider (1) the quality of the data and criterion being used, (2) the transparency of the system, (3) the algorithmic fairness, (4) changing data conditions, and (5) the evaluation of the system at large.