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When Emerging Tech Leads the “Modern Hiring Process: Artificial intelligence impacts on recruiting, hiring, discrimination and bias

Release Date: 2024-07-02

As emerging artificial intelligence (AI) technology becomes readily available in workplace operations, the “modern hiring process” is swiftly evolving to prioritize efficiency and equity while retaining the human element in the hiring and recruitment processes. Companies across various sectors are adopting AI in the workplace and it poses significant opportunities and challenges in its implementation. It is clear that AI on its own without the support of humans cannot be entirely ethical and requires the help of humans in ultimate decision-making. AI tools in the modern hiring process should be considered helpful tools and not a complete replacement.

Arguably one of the most important parts of a job application is the resume the candidate submits, yet human resource professionals and recruiters find themselves struggling with a tedious review process with up to 250 submissions for 1 position on average when only 12% meet the actual requirements for the job, according to Zety.

A report from the Harvard Business School found that top candidates have become “hidden” to recruiters due to the volume of applications and estimate that there are more than 27 million hidden, qualified workers in the US overlooked by hiring managers. It’s said that these “hidden gems” can benefit from a hiring process with better resume screening to improve the selection process and hire talent that may otherwise be lost in the bunch.

AI tools such as resume screening have the potential to efficiently identify qualified candidates and reduce the amount of time it takes to hire - a struggle often shared by company and government HR departments. Resume screening tools use machine learning algorithms to review information provided by candidates and AI scans those documents to draw out relevant information for the review of the hiring manager. The hiring manager assigns screening criteria to narrow down candidates and get to a short list of candidates to move on to the next step of the hiring process.

However, it’s critical to consider the risks of using AI screening tools. If used ethically and transparently, AI can be a tool used for good to improve the hiring process for both hiring companies and candidates, however, resume screening AI tools can be susceptible to human hiring bias. Therefore, it is critical for companies to define the role of the tool and establish processes for how the tool is used. Users must recognize it’s not a complete solution and it requires the assistance of other tools for a robust and holistic review to inform final decision-making. Some companies may even consider screening beyond resumes and using a skills assessment to determine a ranking of candidates rather than relying solely on the resume to narrow down candidates.

Some experts argue that AI could help reduce biases in the hiring process. Career Ready DC is an AI-powered career platform launched by the Washington D.C. Department of Employment Services that aims to make the job search more equitable. For example, the platform uses algorithms to highlight job matches, remove language in the job description that could perpetuate bias, and promotes a candidate’s skills on their application materials. In other words, this strategy emphasizes the uses of a skills-based approach to hiring.

Ongoing debates if AI can actually help reduce bias are ongoing but optimistic. The Pew Research Center revealed that 8 in 10 (79%) of Americans say bias and unfair treatment based on an applicant’s race or ethnicity is problem and 53% think that bias and unfair treatment based on race and ethnicity will improve with increased use of AI by employers in the hiring process. However, when it comes to the final hiring decision, 71% oppose employer’s use of AI.

Overall, the modern hiring process continues to evolve. As employers lean into innovation and emerging technology to support efficiency, they must consider historical racial and class injustices in hiring and implement strategies that promote streamlined operations and equity. AI tools in the hiring process have not been comprehensively evaluated or proven effective and skill-based approaches are changing the way employers review and secure talent.

The City of Long Beach uses LinkedIn Talent Solutions to help with candidate recruitment and simplify candidate outreach, however City officials currently do not use AI to aid in the final decision-making until it is proven to be ethical, robust, unbiased, transparent, non-discriminatory, in alignment with the Long Beach Generative AI Interim Guidance, and issues properly managed and mitigated. Alongside other state and local government hiring practices, the City advocates for “skills-first hiring” instead of educational credentials. This practice ultimately benefits the City and our residents by creating a more diverse talent pool, promoting inclusive hiring, and improving our ability to fill specific roles.

AI technologies in the modern hiring process give us the power to make informed and data-driven decisions but must be used with caution. Efficiency without equity creates systems that lead to imbalances and injustices. AI technologies in hiring used for good must always remember the human element required to keep the “human” in human resources.

To learn more about the use of Generative AI in city government, click here.

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