Such AI-driven procedures were regarded as less equitable and reliable, according to the joint research.
A recent study carried out by the International Institute for Management Development (IIMD), The Hong Kong Polytechnic University, and National University of Singapore (NUS) Business School has revealed that job applicants may perceive the utilisation of AI in the selection and recruitment process as untrustworthy.
In particular, they regard algorithm-based decision-making in the hiring process as less reliable in comparison to methods involving human assistance.
The above comes as AI technology has, in recent times, been increasingly adopted by human resource (HR) departments to identify and hire suitable job applicants, with Professor Jayanth Narayanan from the Department of Management Organisation at NUS noting the "many benefits that AI can bring to organisations." However, he added that AI cannot replace the human touch and interactions that are core to the HR function, including recruitment exercises.
"Hence, we hope our study can guide organisations to exercise caution when adopting AI in their HR recruitment processes as it may potentially lead to brand and reputational risks.”
According to the study that was released in August, job applicants felt that it was fairer when a human is involved in comparison to a fully algorithmic system.
This sense of inequity is primarily linked to AI's limited capacity to recognise the distinctive attributes of candidates, as the research highlighted.
Moreover, AI-enabled processes may overlook important qualities and potentially screen out good candidates. This is in comparison to human recruiters who possess a greater expertise in assessing candidates' abilities.
Additionally, there exist possible legal and ethical hazards associated with employing algorithms for enhancing HR recruitment. This may include loss of privacy, absence of transparency, obscuring of accountability, and the risk of diminished human oversight.
"I feel that the emotions I put into applying for the position were wasted since computers can not relate to emotions in the same way humans can", a participant of the study shared.
Therefore, as affirmed through the research, organisations should prioritise involving human recruiters in the hiring process, whenever possible, despite the algorithms provide benefits in enhancing efficiency and productivity in HR management.