AI is here to stay, with the rapid rise of artificial intelligence across every industry and household in the world many people fear this technological advancement. Some people are wary of the possible uses of AI in the workplaces, while others believe this type of intelligence could affect humanity. SSI people highlights the ongoing efforts to promote DEI and convey the profound impact on using AI for hiring. Leveraging artificial intelligence (AI) in recruiting can not only enhance efficiency, but also significantly widen the talent pool and reduce bias, fostering a more inclusive workplace.
Using AI for Hiring and Modern Recruitment
According to Pew Research, 47% of people think using AI for hiring could perform better than humans at evaluating all job applications in the same, consistent way. Respondents believe the racial and ethnic bias issue in performance evaluations would be decreased by using AI by employers.
Truth is, AI-driven recruitment tools are already revolutionizing the hiring landscape. These tools utilize advanced algorithms to automate and streamline various stages of the hiring process, from candidate sourcing to screening and interviewing. LinkedIn states that “42% of talent acquisition professionals say hiring bias is the main reason interviews fail.” Unconscious biases are able to leech into the hiring process leading to biased decision making. To avoid this, artificial intelligence uses features such as ATS or CV matching tools to match candidates resume to job descriptions eliminating factors such as gender, race and age from the equation.
Widening the Talent Pool Using AI for Hiring
Besides reducing bias when hiring, one of the main benefits of AI for hiring is its ability to widen the talent pool. Traditional hiring practices often rely on factors such as recommendations or networking which can inadvertently exclude diverse candidates.
McKinsey reports that companies with greater ethnic and cultural diversity perform 33% better in terms of profitability. Therefore, ensuring your staffing team is searching across the talent pool is essential and good for business. A 2023 survey by the World Economic Forum found that companies using AI in their recruitment processes reported a 35% increase in the diversity of their candidate pools. Why? Because AI tools analyze beyond just words and highlights the patterns of what talent can bring to the table from their skills, qualifications and experience.
Reducing Bias in Screening and Selection
Bias in the hiring process is a huge barrier to DEI. Whether someone might notice it or not, unconscious biases can influence how a recruiter assesses a resume, conducts interviews and makes hiring decisions.
Although there are individuals and job seekers who are skeptical about a “robot” reading their resume, most companies use AI for assistance not as something that completely controls the recruiting process. For example, AI-driven resume screening tools can anonymize applications by removing identifiers such as names, gender and ethnicity allowing the recruiter to solely focus on candidates qualifications. Essentially, a recruiter oversees the process, determining to pass or move forward on an application, not a robot, (making it important to reevaluate the notion that ATS rejects 70% of resumes.)
Enhancing DEI Metrics and Analytics
Using tools to assist with AI for hiring offers another strength: providing valuable insights. These analytics can help organizations track and improve their DEI efforts. By analyzing data on hiring trends, candidate demographics and employee retention, AI has the power and the ability for deep data analysis that can identify the areas where an organization might be falling short on diversity and inclusion.
Due to this data-driven approach, companies can implement targeted strategies to address these gaps and identify patterns of bias to ensure a more equitable hiring process.
Real-World Impact and Success Stories
Several companies have already successfully integrated using AI for hiring processes with positive DEI outcomes. In one example, tech giant IBM uses AI to analyze job descriptions and ensure they are inclusive and free from biased language. This initiative has helped IBM attract a more diverse range of candidates, contributing to its reputation as an inclusive employer. Similarly, Unilever’s AI-powered recruitment system has led to a 16% increase in gender diversity among its hires.
As we prioritize workforce diversity, it’s important to recognize the role of innovative technologies like AI in advancing DEI initiatives. AI for hiring offers a powerful tool to widen the talent pool, reduce biases, and create a more inclusive workforce. At SSI People, the winning combination of our experts in tech and engineering recruitment and staffing and the use of advanced technology including AI-driven recruitment tools ensures that we are putting people first in their search for meaningful work and the chance to land their dream job opportunity.