AI Hiring: How it Affects Employers & Candidates
Updated: July 18, 2023
Artificial intelligence (AI) is already making significant changes in technology recruiting and will continue to have a profound impact going forward. Its massive computing power makes it easier for companies to recruit top talent by efficiently sourcing, screening, and evaluating candidates who closely match the required skills and experience. While AI can streamline and improve hiring in many ways, it can’t, and shouldn’t, replace people.
How does striking the right balance of AI tools and the human touch streamline the hiring process? Used appropriately, AI creates a win-win solution for job applicants and employers.
The Power of AI Hiring in Recruitment
AI is rapidly transforming the hiring process. Fortune 500 companies like Amazon leverage their capabilities to tap into new efficiencies and make recruitment more effective and fair. Here are the top three benefits of using AI hiring tools in candidate sourcing and screening:
Improved Efficiency and Time-saving Capabilities
AI in hiring automates repetitive processes, like sourcing potential candidates, screening resumes, and scheduling interviews. By automating repetitive tasks in hiring, employers save time and money.
Enhanced Candidate Matching Through Automated Algorithms
One of the biggest problems in recruitment today is an overwhelming number of resumes from people who may or may not fit the position. When using AI-powered recruiting software, AI compares applicants’ data with job requirements to identify the most suitable person for the position. This reduces the risk of recruiting the wrong candidate.
Reducing Biases in Hiring Processes
In the past, recruiters were responsible for manually checking candidates’ resumes before an interview. Yet, along with being time-consuming, manual review is also highly susceptible to unconscious human bias. Using AI in the hiring process can reduce bias when it’s structured to remove identifiers like gender, ethnicity, or age and screen job applications solely based on skill sets and competency. Tried and tested, ethical AI in the recruitment process can provide objective information to human recruiters to help them focus on relevant candidate data.
Commonly Used Tools for AI in Hiring
AI hiring tools are increasingly popular because they simplify and speed up the hiring process. Typical tools to consider when shopping for AI-powered hiring software include:
1. Applicant Tracking System (ATS)
An applicant tracking system allows talent acquisition professionals to track candidates throughout recruitment. The tool enables you to manage job postings, applications, candidate data, and applicant communications from a central platform.
Common features of ATS include:
- Applicant tracking
- Resume parsing
- Interview scheduling
- Automated emails
- Applicant collaboration tools
- Analytics and reporting
You can customize the software to meet your unique needs and use it to automate tedious, time-consuming tasks like sending emails, scheduling interviews, and collecting feedback.
2. AI-Powered Resume Screening Software
This AI tool scans resumes, extracts relevant information, and converts them into a standard format. Then, using powerful algorithms, it ranks the resumes based on how well they match the job requirements. This could be based on skills, education, and relevant experience. As a result, hiring the right talent for the job is quicker.
3. Chatbots and Virtual Assistants
Chatbots don’t sleep. They can provide quick responses anytime. For example, they can answer questions about vacancies, the application process, and other general details concerning a position. By automating these tasks, chatbots save recruiters time.
Potential Challenges and Limitations of AI in Hiring and Recruitment
One of the biggest cons of AI is the dehumanization of the recruitment process. AI in hiring lacks personal connection. For instance, chatbots and virtual assistants lack a level of understanding and context that only people can offer. So the technology may not always address candidates’ concerns sufficiently.
Another pitfall of AI in hiring is that qualified candidates may get overlooked. Here’s how: Applicant tracking systems and AI hiring software rely on keywords and predetermined criteria to rank candidates. With this approach, those who may have relevant qualifications but haven’t optimized their resumes for the AI tools are not prioritized.
Additionally, AI tools can’t assess soft skills like attention to detail, listening skills, critical thinking, and willingness to learn. Neither can the technology accurately evaluate how a candidate will enhance the existing culture the same way a recruiter or hiring manager would. After all, AI doesn’t see the candidate behind the cover letter and resume — but people do. That’s why the recruitment process must combine both AI and the human touch.
The Role of Benchmark IT: Where High Tech Meets High Touch
Benchmark IT is a technology staffing company focused on streamlining and optimizing the candidate experience. Instead of replacing human recruiters with AI tools, we harness the power of both.
Our proven recruitment process includes assigning a dedicated Account Manager to every assignment to ensure we communicate with all stakeholders every step of the way. After a comprehensive intake call with your team, we gather the necessary information to source the right candidates. Then, we combine our best-in-class recruitment process with an industry-leading technology stack to engage with as many qualified candidates as possible.
Our seasoned recruiters understand a candidate’s and client’s mindset, which enables us to fully grasp how a candidate’s goals fit our client’s needs. We assess an applicant’s background, experiences, soft skills, and how they can enhance the existing culture — things AI tools cannot accomplish alone.
For this reason, Benchmark IT uses AI as a tool, not a replacement for human recruiters. The two work better together; recruiters add the needed human touch, while AI provides insights that inform data-driven decisions by our recruitment experts.
Striking the Right Balance: Recommendations for Employers and Candidates
Employers can combine the strength of AI-powered technology with recruiters to unlock new efficiencies, provide a personalized experience for applicants, and reduce bias in the recruitment process. Eliminating the human element poses the risk of doing more harm than good. However powerful, AI cannot do everything people can, like demonstrating empathy and perspective in the hiring process.
On the other hand, job seekers should harness the power of AI in job searches while seeking personalized interactions in the hiring process. For instance, you can use technology for resume optimization to increase the chances of being recognized by applicant tracking systems and human recruiters.
Work With Benchmark IT for a Human Touch
Like everything else in life, AI hiring has perks and downsides.
The perks include:
- Automated candidate matching to streamline recruitment
- Eliminates repetitive manual processes to save time and boost efficiency in hiring
- Enhancing fairness in recruitment
The downsides include:
- Lack of human touch
- Possibility of qualified candidates being overlooked
- Inability to assess cultural fit and soft skills
Keeping people involved helps eliminates the mentioned cons of AI in hiring and fully optimizes the recruitment process. At Benchmark IT, our recruitment methodology focuses on creating strong candidate relationships and streamlining an applicant’s experience throughout the process.
Our recruiters prioritize understanding applicants’ career goals to accurately gauge their interest in a position in your company, creating a better match. Contact us today to leverage the power of AI and skilled recruiters in your hiring process.