AI in recruitment: How modern technologies are changing the way we recruit in 2024?
Recruitment is an important process in any company that directly affects its growth. At a time of dynamic technological growth and constant changes in the labor market, traditional recruitment methods are being transformed. Artificial intelligence is beginning to play an increasingly important role, which is a hot topic of discussion and significantly affects the evolution of the labor market. Read more about AI’s impact on the labor market in our article here. AI is also impacting the recruiters’ jobs and recruitment processes and methods, improving them and thereby relieving recruiters of more routine tasks. What exactly can AI help recruiters with?
The use of AI in recruitment
In the past few years, the impact of AI on the labor market has become a topic that generates a lot of emotion. Some people fear that the development of AI-based solutions, such as automating tasks and taking over some responsibilities, will lead to a reduction in workplaces. In contrast, supporters highlight the potential of AI and its extensive use in many industries.
In the context of recruitment, AI includes a variety of technologies such as chatbots, resume analysis, and application management systems (ATS) supported by machine learning algorithms. These tools automate many stages of the recruitment process, from selecting the top talent candidates to conducting initial interviews.
Why should you consider using AI in talent acquisition? Let’s look at the statistics:
- 62% of recruiters express optimism about AI’s impact on recruitment
- 27% of recruiters are using or experimenting with AI in recruitment
What benefits of using AI do recruiters identify?
- Faster and easier job descriptions writing – 57%
- Automation of tasks – 45%
- Reducing routine tasks – 42%
How artificial intelligence is revolutionizing the hiring process?
CV review and candidate selection
One of the key benefits of AI in recruitment is the automation of candidate pre-screening. AI-powered recruitment tools are able to scan and analyze resumes submitted by candidates, identifying keywords and selecting the best matching candidates for an offer. This speeds up the selection process and as a result allows recruiters to focus only on qualified candidates. In addition, AI can help in the search for passive potential candidates, i.e. those who are not actively looking for a job. Artificial intelligence can search for suitable candidates by analyzing their social media activity, which allows recruiters to make faster and more effective contact with potential employees.
Contact with candidates
Contact with a candidate can be improved with solutions such as chatbots, which prove especially useful in the initial stages of recruitment. A properly programmed chatbot can provide specific answers to the most common questions candidates have about the company and the job, and additionally provides 24/7 availability. Quick and constant contact improves candidate experience while enhancing the company’s image.
Interviewing
AI tools are also being used to support job interviews. Technologies such as video analytics make it possible to evaluate body language, tone of voice, eye contact and even the content of candidates’ speech. This makes it possible to more objectively assess a candidate’s competence and fit with the company. It is worth remembering, however, that despite the advancement of these technologies, it is crucial to combine their results with the experience and intuition of the recruiter.
Providing data
AI systems can use advanced analytical algorithms and provide information based on previous recruitments. This approach enables more strategic hiring decisions. It allows recruitment teams to better analyze the strategy of the company’s recruitment processes and continuously optimize them, increasing the efficiency and relevance of staffing choices.
Advantages of using AI for recruiting
- Reduce costs and save time spent on recruitment – AI allows automation of repetitive and time-consuming processes such as collecting and reviewing resumes submitted by candidates or searching for candidates. This speeds up the entire process and reduces the workload on recruitment teams.
- Scalability – AI is able to support large volumes of applications.
- Candidate experience – virtual assistants and chatbots enable continuous contact with the candidate at any time and answer questions about the position or job in the company. This has a positive impact on the candidate experience.
- Providing data – tools based on artificial intelligence collect and provide valuable information on recruitment trends or candidate behavior. This can help recruiters with optimizing recruitment strategies.
- Keyword matching – AI searches for candidates and checks resumes by keywords which allows better selection of the most suitable candidates for a given position.
- Greater objectivity – AI algorithms are based on data, which allows for reduced bias in the recruitment process and thus for a fairer selection of candidates.
Challenges of ai in the recruitment process
- Technology limitations – Implementing advanced AI tools can be a challenge and the cost of technology and integration with existing HR systems can be a barrier for many companies.
- Mistakes due to incorrect resume formatting – There is a possibility that, through the words or formatting used, AI will not be able to properly scan submitted resumes and, as a result, even suitable candidates may be rejected in the initial recruitment phase.
- Psychological aspects – AI is unable to assess psychological aspects.
- Legal and ethical aspects.
Legal aspects of using AI in recruiting
The use of AI in recruitment is related to convenience and time savings, but it can raise questions about the legal aspects of using these technologies.
The European Parliament on March 13, 2024 approved the AI Act, which creates a legal framework for the use of AI in recruitment, among other things. The AI Act focuses on regulating artificial intelligence systems based on the risks they may pose. The AI ACT recognizes 4 categories of AI systems based on the level of risk involved in their use:
- Low risk: The AI Act does not apply additional obligations to systems that do not create a significant risk.
- Medium risk: These systems only require certain transparency requirements, e.g. chatbots must inform users that they are communicating with AI.
- High risk: These technologies are allowed, but are subject to strict transparency, oversight and human rights compliance requirements, such as AI used in recruitment, education or health care.
- Unacceptable risk: Technologies that may threaten security and human rights are prohibited.
The AI Act classifies the use of artificial intelligence in recruitment as a high-risk system. As a result, AI technologies used in this area will have to go through rigorous compliance assessments and be subject to human oversight. A key requirement is to inform candidates about the use of AI in the recruitment process. The implementation of AI solutions in recruitment must be carried out responsibly, taking full account of legal and ethical requirements to ensure transparency and equity in the selection process.
The future of AI and the role of the recruiter
With the advancement of AI technology, we can expect further innovations in the recruitment area. Developments in machine learning and advanced natural language processing (NLP) can contribute to even more accurate analysis of resumes, more precise interviews and better prediction of candidate success. At the same time, companies should invest in developing the competence of their HR teams to implement and optimize AI tools in recruitment processes.
AI tool: our CEO point of view
Recently, our CEO, Alessandro Lombardi, had the pleasure of participating in the #100DaysOfAI challenge, which involved testing various AI tools every day. Through this experience, he discovered a number of interesting AI-based tools that can significantly improve your work as well. Explore the list of AI tools that enhance creativity and see how they can benefit you:
Creating images, video and animations:
- Microsoft Copilot Designer – AI-powered design tool to simplify the creation of visual content.
- Distillery – AI tool for creating advanced videos and animations.
- Pika – an app for fast creation of simple graphics and animations.
- Genmo – generation of animations based on text.
- Runway – a comprehensive AI platform for video editing and creation.
- Veed.io – video edition tool with AI-based features.
- Guidde – enables the rapid creation of video guides.
- Adobe Firefly – graphics creation and image editing.
Music generation and voice synthesis:
- CassetteAI – AI tool for composing and arranging music.
- WavTool – an application that supports the creation of sounds and music.
- ElevenLabs – an advanced tool for creating natural-sounding voices.
Data analysis:
- Ask CSV – tool for interactive analysis of data from CSV files using natural language queries.
- Browse AI – automation of data extraction from the internet.
Research and analytics:
- ChatPDF – PDF reading and analysis tool.
- Perplexity AI – advanced AI-assisted research assistant.
- EXA AI – a tool to support analysis and information retrieval.
Others:
- Sudowrite – AI tool to support creative writing and text generation.
- Remail AI – automates and optimises email responses.
- involve.me – a platform for building engaging forms and surveys.
- Chipp – an intelligent assistant for real-time communication.
- Dorik AI – website builder to quickly build websites without coding.
- Gamma – an AI tool for creating modern and engaging presentations and documents.
- Triggre – a tool for creating applications and content without programming.
Want to find the best candidates for your company? Contact us at info@itselecta.com. We’d love to talk to you 🙂
Sources:
- https://business.linkedin.com/talent-solutions/resources/future-of-recruiting