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AI is infiltrating the hiring process for applicants and recruiters alike

While artificial intelligence (AI) is bringing a range of benefits to both recruiters and job seekers alike, it may also present a new obstacle in the war for talent.

According to a new survey from Capterra, Canadian job seekers are using AI to mask skills deficiencies, and using AI to cross the line or deceive employers is becoming increasingly commonplace.

Eighty-two per cent of applicants in Canada who use AI in their job search have used it to exaggerate or lie about their skills on a resume, cover letter, job application, or skills assessment. This includes mass applying to jobs, a practice undertaken by 27 per cent of respondents, generating answers to interview questions (25 per cent), and completing a test assignment or skills assessment (24 per cent).

Job seekers welcome the use of AI in the hiring process

AI can bring complexities to recruiting, but both recruiters and job seekers are feeling its benefits. Forty-eight percent of Canadian job seekers are currently using AI tools to support them in their current job search. Specific use cases include writing resumés (reported by 37 per cent of job seekers), writing cover letters (36 per cent), or finding relevant job openings (33 per cent). Using AI honestly in the job search can also demonstrate to employers that users have these in-demand technological skills.

According to job seekers, using this technology is helping them appear as better candidates (reported by 24 per cent of respondents) and allows them to stay competitive with other job seekers who are also using AI (22 per cent). AI is also helping job seekers apply to jobs more quickly, as they are able to complete more than twice as many applications and are 79 per cent more likely to receive a job offer.

The majority of job seekers (55 per cent) feel positive about the use of AI for recruiting purposes. Fifty percent of job seekers think that they have a better chance of being hired if AI is used in the hiring process, and 62 per cent believe that AI is generally less biased than humans when evaluating job candidates.

Concerns persist surrounding the use of AI in recruitment

While job seekers are realizing the benefits of AI in their job search, the human touch is still essential. Therefore, employers eager to streamline hiring with AI should take precautions to maintain human interaction so as not to alienate top talent. Fifty-nine per cent of job seekers are more likely to apply to a job if the application states that humans make all hiring decisions.

The age and education level of applicants are shaping their tolerance for the use of AI in recruitment. Younger workers, as well as those with at least a master’s degree or equivalent, are more likely to decline a job offer if the employer relies too heavily on AI in the application.

During the recruitment process, job seekers are most comfortable when AI is used to ensure equal opportunity for applicants (reported by 61 per cent of applicants). Next, job seekers are comfortable with AI being used to administer skills assessments (60 per cent) and evaluate or rank applicants (59 per cent).

These findings show that employers need to be transparent with implementing AI into their recruitment processes and roll out features one step at a time.

Capterra’s Job Seeker AI Survey was conducted in July 2024 among 2,997 respondents in the U.S. (n = 250), Canada (n = 250), India (n  =  250), Brazil (n = 250), Mexico (n = 250), the U.K. (n = 250), France (n =247), Italy (n =250), Germany (n = 250), Spain (n  =  250), Australia (n  =  250), and Japan (n  =  250). The study aimed to understand the factors in AI-driven recruiting processes, and how prevalent AI tool usage is among job seekers. Respondents were screened to be actively looking for a job.