UK business leaders sceptical about use of AI in recruitment

UK business leaders in finance and accountancy are more cautious about the use of artificial intelligence (AI) in recruitment than their global counterparts.

According to new research from the Association of Chartered Certified Accountants (ACCA), 69% of UK respondents had concerns about the use of AI algorithms in hiring, compared with 48% globally.

Concerns were particularly pronounced among UK board-level leaders, with 74% expressing a lack of confidence in how AI is being used in recruitment. Globally, 54% of board-level respondents said they had doubts about the growing use of AI to select talent.

The findings, from the ACCA’s annual global talent trends survey, come as recruitment activity typically increases during the so-called “September surge”, with employers and candidates increasingly turning to AI tools during the hiring process.

Jamie Lyon, global head of skills, sectors and technology at ACCA, said the findings raised questions about the impact of AI on recruiters and jobseekers.

“This year’s survey findings raise an important question in an increasingly AI-driven environment which is: ‘Is anyone truly winning in the AI-led finance job-hunting race right now?’” he said.

“Organisations are increasingly using AI in their hiring activities, while some candidates themselves are using AI chatbots to support with their job applications. This is leading to a surge in the volume of applications, and growing complexity in recruitment systems at a time when young people in particular are facing a tough job market.”

Lyon said AI could bring benefits to recruitment but employers needed to ensure appropriate safeguards were in place.

“AI is here to stay and offers many benefits, but it’s important that hiring processes are fair, equitable, transparent and supported by appropriate human oversight,” he said.

Concerns identified by ACCA include potential bias in algorithms and the data used to train them, a perceived loss of human interaction and feedback, and questions over how candidates’ personal data is used and protected.

The report also highlights growing interest in governance, auditing and monitoring of AI recruitment systems, alongside calls for stronger regulatory requirements.

ACCA said that while AI in recruitment was “here to stay”, employers would need appropriate safeguards and mitigation measures as the technology continues to develop.

The survey received more than 11,000 responses from 160 countries.