Finding the perfect hire is like finding a needle in a haystack, right? It’s tough!
Latest data says: over 50% of companies are turning to AI to help them find the best people.
But is AI all good or are there any problems with it?
Let’s look at some numbers to see what’s going on.
Top AI recruitment statistics: Editor’s Pick
- 70% of Millennials surveyed believe that AI was involved in their hiring process. [1]
- However, 56% feel that humans should always make the final decision when it comes to hiring. [1]
- Per Workable, most companies use AI in hiring for two main things: checking resumes with screening tools (58.9%) and using candidate matching tech (43.1%). [2]
- The AI hiring market is expected to be massive by 2030, reaching almost $1.8 billion! [3]
- Nearly half of HR Managers acknowledge experiencing unconscious bias when choosing candidates. [4]
AI is Growing in Hiring
The stats paint a clear picture: AI is on the rise in the recruiting world.
Here’s the lowdown:
- Almost 80% of people think more companies will use AI for hiring in the future. [1]
- Nearly 40% of hiring teams already use AI tools to find candidates, screen resumes, and schedule interviews. [2]
- The AI hiring market is expected to be massive by 2030, reaching almost $1.8 billion! [3]
But not everyone uses AI yet, because…
Not all industries are created equal
The tech sector is leading the AI recruitment charge, with almost half of companies using these tools. Other industries, like advertising and finance, are still catching up. [4]
So, the adoption rate might vary depending on your field.
AI isn’t a one-size-fits-all solution
While some believe it’s most useful for entry-level and mid-level roles, its effectiveness for senior positions requiring extensive experience is still up for debate. [5]
So, don’t expect AI to replace human judgment entirely, especially when it comes to senior hires.
What Does AI Do in Hiring?
Source: Statista
AI isn’t just a fancy buzzword; it translates into real-world tools used by recruiters.
Here are a few examples:
Algorithmic Screening
Think robots reading resumes! Almost 59% of companies use AI resume screeners to pick out the best candidates. [2]
Chatbot Recruiting
Chatbots are like virtual assistants for candidates. Nearly half of companies use them to answer questions, schedule interviews, and keep candidates updated. [6]
Video Interviews
Forget video calls! Over 80% of companies use automated video interviews with AI. These interviews use pre-recorded questions and analyze things like facial expressions to see if someone is a good fit. [6]
Predictive Analytics
Think of this as “Moneyball” for hiring. 50% of companies use data analysis to find the best candidates based on things like skills and experience. The goal is to predict who will do well in a specific role. But remember, this is only as good as the data used, so it could be biased too. [6]
Does the Human Touch Still Matters?
Even with AI, human judgment and empathy are still important
67% of hiring managers say it’s harder to assess soft skills like communication over video. These skills are often best assessed in person. [6]
Focusing only on AI can hurt your company’s image. Long waiting times, impersonal interactions, and a lack of human connection can make candidates feel bad.
Building relationships with potential hires is still important.
The Future of AI in Hiring
- AI will get better at finding and picking out the best candidates, allowing recruiters to focus on more important things.
- The candidate experience will improve with faster hiring, personalized communication, and a more human touch.
But remember, AI shouldn’t replace human empathy and interaction.
So, AI in hiring is a mixed bag. It can be helpful for some things, but it’s important to remember that it’s a tool, not a replacement for human judgment and empathy.
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FAQs
Do many companies use AI for hiring now?
Yes, over 50% of companies use AI for recruitment these days, especially larger companies and recruiters.
How exactly is AI used when hiring?
AI is often used to quickly screen resumes, rank candidates, and automatically schedule interviews with top picks. It makes some hiring tasks faster.
Is AI better than humans at hiring?
No, AI is not necessarily better – it’s best when humans and AI work together. AI is good at quickly going through many applicants, but humans are needed to make final hiring decisions.
How much does it cost to use AI for hiring?
The costs can vary a lot depending on the AI tool and what it’s used for. Some basic resume screening AI’s may cost a few hundred dollars per month, while full hiring process automation can cost thousands per year.
Will AI cause me to lose my recruiter job?
Probably not anytime soon. While AI can automate some tasks, recruiters are still very much needed for strategy, relationship-building, judging culture fit, and making hire/no hire decisions. Your role will likely evolve rather than be eliminated.
Wrap Up
The good news is AI can really help companies find those needle-in-a-haystack candidates more efficiently. With AI resume screeners, video interviews, and data analysis, recruiters can quickly zoom in on the top talent.
But the potential bad news is that overly relying on AI could make the hiring process feel impersonal and turn people off. Candidates still want that human touch and relationship-building.
The key here is striking the right balance. Use AI tools to streamline the grunt work, but don’t lose the human empathy and judgment that makes people feel valued. Let AI be the assistant that surfaces great options, while recruiters provide that welcoming experience.
If companies play it smart and blend AI’s capabilities with a healthy dose of human involvement, they can attract top talent from all over while making those candidates feel genuinely wanted. Then it’s a win-win for everyone!
Source
- Builtin. AI Can Help With Recruiting. Here’s How.
- Resources. AI in hiring: bias & privacy an issue for 40% of hiring teams
- Jobylon. How AI is Transforming the World of Recruitment
- Workable. Top AI in Hiring statistics in 2024
- The Financial Brand. Is AI Coming for Your Bank Job?
- Jobera. 37+ Hiring Statistics & Trends [2024 Study]
- USC. How Artificial Intelligence (AI) in HR Is Changing Hiring
Rachelle is a digital marketer with experience in project management and marketing. She crafts content supported by data, advocating innovative solutions for job-seekers and professionals involved in hiring.