AI in Recruitment: Benefits and Drawbacks / AI in Recruitment: Pros and Cons

AI in Recruitment: Benefits and Drawbacks / AI in Recruitment: Pros and Cons

The use of artificial intelligence (AI) is rapidly advancing in various industries, from language-model chatbots like ChatGPT to personal assistants such as Alexa and Siri. The recruitment industry is no exception, as more recruiters are turning to AI to quickly find the best job applicants.

According to data, around 85% of recruiters believe that AI in recruitment can replace some parts of the hiring process. The reason is simple. AI can automate several aspects of the hiring process due to its ability to analyze vast amounts of data and identify patterns.

AI tools like applicant tracking systems (ATS) screen resumes and identify potential candidates. Also, these tools efficiently conduct mundane tasks such as crafting job descriptions, creating interview questions, writing Boolean search strings, scheduling interviews, sending out emails, and conducting background checks.

AI can offer many benefits, but it is not without its drawbacks. Here are the top pros and cons suggested by Skywalk Global before using AI in the recruitment process.

Benefits of AI in Recruitment:

1. Timesaving: One of the most significant advantages of using AI in recruitment is the timesaving aspect.

• An ATS can automate many of the repetitive tasks in the hiring process, such as resume screening and candidate tracking.
• Chatbots can be used to quickly engage with candidates, providing personalized and efficient communication throughout the hiring process.
• Video interviewing tools can be utilized to understand candidate responses, body language, and facial expressions to identify the best-fit candidates.

2. Unbiased hiring: AI can help eliminate bias in hiring decisions by focusing on objective data rather than subjective opinions. Algorithms can be trained, monitored, and tested to ignore information such as a candidate’s age, gender, or ethnicity, ensuring fair hiring practices.
3. Better candidate matching: Traditional methods of candidate matching were based on keyword searches and basic qualifications, such as education and work experience. However, AI-powered candidate matching algorithms and predictive analytics tools go beyond these and analyze a range of factors, including assessment results, social media profiles, personality traits, and cultural fit.
4. Beats competition: An organization that uses AI tools and automation for recruitment has an edge over its competitors. For example, an organization using AI turns 10-15 hours of searching through social media and job sites into a two-minute search across multiple platforms, which helps them outperform their competition. Some recommended AI recruiting software includes Paradox, Fetcher, Amazing Hiring, Arya, Humanly, Textio, Seekout, hireEZ, eightfold, HireVue, and ChatGPT.

Drawbacks of AI in Recruitment:

1. Lacks human touch: While AI can offer many benefits, it may lack the human touch essential for recruitment. Some candidates may prefer to interact with a human recruiter rather than a chatbot or automated system. Some may not feel uncomfortable sharing personal data with a machine. Human judgments are always needed to build relationships and also while interviewing and selecting which candidate would be the best fit.
2. Bias in algorithms: Despite the potential for unbiased hiring decisions, AI algorithms can still be biased. Some critics feel AI could make employment discrimination worse through “institutional and systemic” biases. They believe that many of these algorithms are considered “black boxes” because they are not transparent about how they make decisions. They may be trained on biased data, leading to unethical and discriminatory hiring practices.
3. Inadequate understanding of context: AI algorithms can struggle to understand the context of a candidate’s experience or qualifications, leading to incorrect assessments. It could work with insufficient data, which can result in qualified candidates being overlooked or unqualified candidates being selected. For example, a job seeker may use a different keyword for a job skill. If the AI does not have enough data to recognize that the skill could be transferable, it may miss out on a good candidate.
4. Extra expense: Implementing AI in recruitment can be expensive, especially for small organizations. This can be a barrier to entry for organizations that may benefit from AI but cannot afford the expense.
5. Data security risks: The use of AI in recruitment often involves collecting and storing huge amounts of personal data about job applicants. This data can be vulnerable to security breaches or hacking, that may compromise the privacy of job applicants and lead to identity theft or fraud.

Organizations should carefully consider these benefits and drawbacks before implementing AI in recruitment and ensure that they are using it ethically and responsibly. By doing so, they can improve their recruitment processes and find the best talent for their organization.