AI in Recruitment: Are the benefits worth the risks?

Employers are increasingly using artificial intelligence in hiring to screen job applications.

According to the Responsible AI Index, 62 per cent of employers used AI as part of their recruitment process last year.
While employers believe the technology is beneficial, experts warn it is not without its risks.

So, how are employers using AI in recruitment, and what are the risks?

How are employers using AI in recruitment?

Hiring managers are increasingly busy, and they see AI as a way to save time and resources.

One of the most common ways employers use AI is to shortlist and screen candidates. For example, they use CV scanners and vocal assessments to classify, rank and score job applications. Therefore, AI can be used to accept or reject a candidate’s application before it reaches the interview stage.

In some cases, AI is also used to assess robo interviews. A robo interview will typically involve a candidate recording answers to a series of questions. The responses will then be assessed using AI.

What are the risks of using AI in recruitment?

While many hope that using AI recruitment tools will end biases and discrimination, often this has not been the case. In fact, AI systems often reinforce—and even amplify—existing biases.

As AI systems scrape their data from the internet, they will often reinforce common internet biases. For example, in male dominated industries they may downgrade applications from women. They may also upgrade applications which feature words more commonly used by men.

Many companies may also use historical recruiting data to train their AI systems. This can lead it to favour those with similar backgrounds to those who are already at the company.

Assessments of audio responses may also discriminate against those with disabilities or from culturally diverse groups. This can reduce cultural diversity in the workplace.

Is reform needed?

Recently, the government has been exploring the introduction of an AI Act, similar to the one in place in the European Union. This would put in place guardrails regarding the high risk use of AI, which would include AI screening.

It comes amid recent recommendations that the use of AI for recruitment decisions without human oversight should be banned.

Experts say that the Australian government should review its anti-discrimination laws to ensure these cover new technologies such as AI.
However, it is not only the government that has a role to play in regulating the use of AI for recruitment.

Human Resources professionals and AI developers need to work together more closely to ensure data used in AI recruitment is reflective of diverse and multicultural groups.

What can candidates do?

There is nothing you can do to stop your application being screened by AI. However, by tweaking it you can make it more likely to pass AI systems.

AI systems are often trained to look for keywords featured in the job description, the company’s vision statement, or mission. Incorporating keywords used in the job description into your application will help you to pass AI screening systems.

This makes it all the more important to tailor your application for each role you are applying for. This is especially the case if you are applying for roles in different industries.

Try to keep your phrasing and formatting as simple and direct as possible. AI will not be able to interpret complicated phrasing such as puns or idioms.

While AI can save recruiters time and money, this must be balanced against the risks Artificial Intelligence in recruitment can generate.

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Article References

Indeed (4 March 2025) ‘18 Tips To Pass Automated Screening Resume Software’, Indeed, accessed 13 May 2025.

Soleimani, M, Itezari, A, Pauleen, D.J & Arrowsmith, J (10 June 2024) ‘What will a robot make of your résumé? The bias problem with using AI in job recruitment’, The Conversation, accessed 13 May 2025.

Stein, L & Carrick, D (8 May 2025) ‘AI job recruitment tools could ‘enable discrimination’ against marginalised groups, research finds’, ABC News, accessed 13 May 2025.