Artificial Intelligence for Human Resources: The Road Ahead

AI hand reaches toward human hand symbolizing artificial intelligence for HR

The workforce is buzzing about the potential for artificial intelligence and human resources – as well as its greater applications for business.

As research and development advances quickly in this field, artificial intelligence (AI) has gone from an idea to reality. Platforms like ChatGPT, Bing Chat and OpenAI are powering emerging technologies with useful applications across many industries.

When it comes to the field of human resources (HR), the analytics capabilities of AI offer the opportunity to find efficiencies, streamline employee workflow, identify risks, lower overhead costs and more.

“The most common HR functions that are being enhanced by the use of AI are recruitment and hiring, training and development, engagement and retention and performance management,” said Christina Faro-Pilliteri, senior human resources specialist at Integrity Employee Leasing.

Studies show that combining artificial intelligence and human resources can save business owners both money and time by supercharging productivity. When building a company from the ground up, every small savings matters!

Even employees are getting on board. According to a recent Pew Research Center survey, many U.S. workers do not feel their jobs are at risk, but are more likely to say AI will help more than hurt.

Thirty-two percent of workers in the AI-permeated field of information and technology say AI will help more than hurt them personally, compared with 11 percent who say it will hurt more than it helps.

The Benefits of AI for HR & Business Owners

As one of the leading professional employer organizations (PEOs) in the nation, Integrity Employee Leasing’s HR team has been tracking AI’s development and paying close attention to the advantages it can provide for clients.

A major benefit that comes from deploying artificial intelligence within existing human resources systems is the way it can enhance the traditional HR recruitment process. AI-powered screening programs can take the burden off business owners during the hiring process.

These programs can be customized to the employer’s hiring needs and can sift through many electronic applications and resumes. AI can narrow the number of selected candidates by using keywords, skills and other specific criteria tailored to that available position. This saves an entrepreneur or business owner valuable time processing job applications and determining hiring eligibility.

Another hot topic in the realm of AI is performance management. Many AI-based tools exist that can be used to review performance-related data for each employee. Some of these tools can assist in capturing and analyzing engagement through avenues such as employee output and emails. These programs are meant to provide employers with useful data concerning the productivity of each employee. This type of helpful data can be used to drive a coaching conversation with an employee about performance or to facilitate a better workflow.

Employee retention has been a sore spot of discussion for many business owners, especially since the start of the COVID-19 pandemic. There are now AI-based tools that can be used to evaluate individual engagement as well as collect data from surveys completed by their employees. The data collected can help determine the likelihood of an employee leaving the company and in turn, alert employers of a possible resignation before it takes place.

AI and its Drawbacks

Just as with any new technological advancement that is still under development, artificial intelligence has a few pitfalls. Currently, there are ethical and legal questions surrounding the training of some artificial intelligence models. There’s no doubt that many future legal battles lie ahead in the back-and-forth over AI regulation.

For example, several AI tools, such as facial recognition software and recruitment tools, have been found to function with a possible bias. Facial recognition can potentially fail to distinguish skin tones, which in the case of police departments, has been shown to lead to improper arrests.

In the world of HR, some recruitment tools have been shown to result in a bias based on age. A legal settlement, the first of its kind, was recently reached involving an employer. The company allegedly used a recruitment tool that rejected candidates above a certain age automatically. As AI gains popularity within the workplace, similar lawsuits are bound to follow.

Another major concern regarding the rise of AI technology is privacy. Today, employers can surveil employees through advanced measures and purchase and collect employees’ personal data. This raises ethical questions about monitoring processes. And the consequences of violating employee privacy laws, regardless of intent, can be incredibly significant.

AI and Human Resources: Get Started Today

Knowing the advantages that AI can provide human resources, but recognizing the importance of using AI ethically and legally, where should a business owner or HR manager start?

A PEO like Integrity Employee Leasing has the necessary knowledge and resources to provide guidance in the area of human resources and artificial intelligence.

“AI still requires some level of human collaboration. Just like Siri or Alexa, which are considered forms of AI, their output is dependent upon human input. Artificial intelligence in the human resources arena will only be successful through human collaboration,” explained Christina. “Basically, it’s imperative to keep the ‘human’ in human resources.”

When you’re ready to explore the options, just remember: Integrity’s team of HR specialists is armed with the latest news and knowledge regarding AI. If you’d like to explore ways to streamline your back-office with artificial intelligence-powered tools, give us a call at (941) 625-0623. Our experienced team would be happy to answer your questions and find ways to put AI to work for you.

 

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