ABSTRACT. As the use of artificial intelligence (AI) in recruitment processes becomes more frequent in the contemporary landscape, it has become evident that organizations are now executing their recruitment in a much more effective manner while being able to mitigate several essential risks. This paper focuses on the use of technology in achieving recruitment objectives and exploring the prospects of technology in optimizing recruitment operations. While AI appears to be highly beneficial and helps cut recruitment time by more than 70%, it also runs the risk of propagating existing biases derived from past hiring data and practices which adversely affects inclusion and diversity. The research utilizes quantitative approaches employing survey responses. While a manager’s reliance on artificial intelligence in facilitating the recruitment process does streamline operations, there is a risk of alienation of candidates due to AI not being able to develop personal engagement. Various respondents wrote about how difficult it was to understand the rationale behind the decisions made by the agents and organizations using the AI, and how the lack of feedback on applications added to their anxiety. Accountability and bias management are ethical issues that stand out clearly as crucial ethics concerns, indicating that such organizations must have strong oversight mechanisms concerning the application of AI. The paper argues that there is a need for organizations to integrate AI and humans efficiently to promote fair recruitment processes. This study, in general, calls for proper monitoring and ethical standards when deploying AI in hiring processes aimed at improving candidate experience and diversity while minimizing the effects of adverse discrimination. The conclusions of this research provide important directions for protection against the challenges posed by recruitment AI while making the processes more inclusive.
JEL codes: E24; J21; J54; J64

Keywords: artificial intelligence; recruitment; bias mitigation; candidate experience; diversity; fairness

How to cite: Nica, E. (2024). “Artificial Intelligence in Recruitment Processes and Its Impact on Candidate Experience, Diversity, and Fairness in Hiring Practices,” Psychosociological Issues in Human Resource Management 12(1): 23–49. doi: 10.22381/pihrm12120242.

Received 19 January 2024 • Received in revised form 12 May 2024
Accepted 20 May 2024 • Available online 25 May 2024