Why HR Leaders Must Increase Their Use of AI in Hiring

According to research from global talent acquisition partner AMS, leaders within the C-suite are conflicted on how AI should be used in hiring. 

The report, which surveyed 300 Chief HR Officers and C-suite leaders, finds that 47% of all respondents say their HR function and wider leadership teams are not aligned on the role of AI in recruiting. 

Many leaders also feel their organisation is not taking enough advantage of AI capabilities – 69% of respondents believe their talent pool will not remain competitive without further implementation of AI, but 89% say their company is not using AI across all recruiting functions.

Gordon Stuart, CEO of AMS, says of the report's findings: “Leaders agree AI will define the next era of talent strategy, but this research makes clear that alignment is lagging behind capabilities.

“Bridging that gap is now a business imperative. Without a coordinated approach between HR and the C-suite, organisations risk falling behind in a competitive talent market where speed, skill visibility and ethical decision-making will increasingly be shaped by AI.”

The use of AI in hiring

Many leading organisations are increasing their use of AI in their talent acquisition strategies. 

McKinsey, for instance, is now asking job candidates in their final stage interviews to work with Lilli, the company’s internal AI tool. 

According to consulting firm CaseBasix, interview candidates for the company are being asked to work with the tool, with recruiters assessing their ability to think alongside an AI solution, using critical decision making to create a final product they can maintain ownership of. 

Microsoft is also changing the way it hires, with CEO Satya Nadella sharing on Brad Gerstner’s BG2 podcast in October that the company plans to increase its headcount with an AI focus. 

He says: “I will say we will grow our headcount, but the way I look at it is, that headcount we grow will grow with a lot more leverage than the headcount we had pre-AI.”

According to Satya, new employees will be looked at based on their ability to use AI to amplify their impact in their roles. 

Prioritising ethical AI guidelines

According to the AMS report, leading organisations are prioritising AI in hiring primarily to manage issues with productivity – as 67% of respondents say efficiency is the main motivation for increasing their AI capabilities. 

As AI usage increases, with 43% of those surveyed expecting most or all talent acquisition processes to be handled primarily by AI by the end of 2026, AMS recommends organisations ensure they have formal ethical AI guidelines in place. 

This is particularly important when there is disagreement amongst C-suite leaders about how AI should be used in recruitment, says the report. 

Stuart says: “As we begin 2026, C-suites and the talent industry are knee-deep in strategising how their business will be affected by the ever-evolving impact of AI. 

“Our data lays out a blueprint for how leaders are thinking and taking action around talent and AI, which grows workforce productivity and business commerciality. 

“Leaders integrating the ethical use of AI into the talent processes now will outpace their peers as AI fluency and digestible value adds only continues to grow.”