HR Managers Turning to AI Recruitment Software to Combat US Labor Shortage

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Mass layoffs in the tech industry and a looming recession stroke uncertainty for workers and businesses. It’s easy to paint a foreboding scenario characterized by joblessness and economic stagnation. However, data from business groups and associations indicate otherwise.

The Thanksgiving weekend, for example, poses more opportunities for businesses despite rising inflation. Black Friday, in particular, could attract 114.9 million shoppers. The report from the National Retail Foundation (NRF) estimates that around 166.3 million people will be planning to shop from Thanksgiving Day through Cyber Monday.

On the other hand, job seekers could find openings in industries that are most impacted by the United States labor shortage. According to the US Chamber of Commerce, there are more than 10 million job openings in the country—but only around 6 million unemployed workers.

Moreover, demand for experienced IT professionals remains high even with thousands of workers being let go in the tech industry. There are over 100,000 vacant positions for IT pros analyzed in one report. These include jobs for cybersecurity experts, application design specialists, and blockchain/ecommence engineers.

Leveraging AI for Faster Hiring

With so many positions to fill, HR managers have their hands full when it comes to recruitment activities. There could be hundreds of resumes to review, applicant interviews to schedule, and job offers and onboarding to deal with in the process. Also, deciding which applications go through the initial screening takes time, nuance, and human expertise.

To efficiently handle recruitment on top of other HR-related activities, organizations have been relying on technology to speed up and automate many of the steps in their recruitment. AI recruitment software, for instance, uses artificial intelligence and machine learning to speed up the hiring process.

Based on a recent SHRM study, nearly 1 in 4 organizations report using automation or artificial intelligence in recruitment and hiring. Of those who use AI and automation, 85% said that these tools help them save time and increase their efficiency. Also, 53% said that the time it takes to fill positions is somewhat better, while 16% said it’s much better.

Resume Screening

According to hiring statistics, 52% of recruiters want to prioritize improving the quality of their hires. This all starts with searching through a large volume of data to find candidates that match the job criteria. This is where AI can make a significant difference. AI can target keywords and sort through hundreds of resumes to save time for HR managers and recruiters.

Moreover, having the ability to search a wide candidate pool and narrow down the choices to just a few qualified candidates makes recruiting more efficient. It also allows HR to gather and introduce quality candidates in a shorter period. AI provides data on demand and narrows the candidate pool in just a few seconds—something that could easily take up weeks if done manually.

Automation

Additionally, AI automation can be used for automatically sending replies to applicants, scheduling interviews, or accomplishing other repetitive tasks. With more time saved, HR managers can take on other high-value recruitment activities such as candidate engagement. Promptly replying to candidates can significantly improve the candidate experience and overall recruitment success. This is especially crucial when you consider that 80% of applicants want faster response time from recruiters.

Creating Better Job Descriptions

Eliminating bias is also an important aspect of searching for and assessing candidates. HR managers are also leveraging AI to create better job descriptions to level the playing field and create application questionnaires that remove bias.

Moreover, AI and machine learning can go back to data and identify keywords or phrases that result in better hires. These tools can analyze words and the context they’ve written to help HR managers and staff compose more effective descriptions for vacant positions in their company. A well-written job description can appeal to more job seekers and increase the number of applications; thus also widening the candidate pool.