In early 2024, the market value of AI-employed technologies will be $661.5 million It’s expected to grow to $1.1 billion by 2030. However, it’s hard to know exactly which AI technologies will be successful, so we turn to survey data to see how your company’s plans compare to those of others. Adoption statistics around AI span a wide range of results that can only be explained by digging deeper into the survey methodology. In this article, we’ll look at some surveys and their results to summarize the state of AI use in hiring today.
About Generative AI at LinkedIn
LinkedIn’s annual survey is an important undertaking. The Future of Recruiting in 2024The survey was conducted among 1,453 recruiters and 498 hiring managers in managerial or higher positions. The survey was conducted in 23 countries and six languages from October to November 2023. The report was published It is scheduled for publication on March 7, 2024. The global version of the report is available in eight languages, with 11 regional versions available to download. In addition to AI, the report also covers skills, Gen Z, and more.
- Overall, LinkedIn’s survey found that while 62% of talent acquisition professionals are optimistic about AI’s impact on recruiting, only 27% of talent professionals say they are using or experimenting with generative AI. Country-by-country results vary:
- Six percent of HR professionals in the UK and France surveyed by LinkedIn reported actively using generative AI.
- 5% of surveyed HR professionals in Germany, Austria and Switzerland said they are actively using AI.
- Survey respondents cited three benefits of generative AI in recruiting:
- 57% said it would be faster and easier to create job listings.
- 45% say automating tasks would free up time for more fulfilling work
- 42% said they would lose routine, repetitive tasks.
- As recruiting teams discover how to leverage AI in their own operations, organizations are exploring how to incorporate AI into their work. Here are three key ways TA professionals are incorporating generative AI skills into their workforce:
- 24% are partnering with leaders to understand generative AI’s potential to transform jobs before taking action.
- 23% are working with department heads to discuss how generative AI will change their jobs.
- 22% are updating their job descriptions to reflect the use of generative AI in their roles.
- In 2023, there was a 14% increase in the number of recruiters who added AI skills to their profiles.
- In recruiting, the use of generative AI highlights the need for soft skills to communicate with candidates and recruiters. Here are the top three soft skills survey respondents said will become more important for recruiters over the next five years:
- Communication (77%)
- Building relationships (72%)
- Adaptability (63%)
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Despite the availability of generative AI tools, only a quarter of those surveyed use them for recruiting. Country-wise, European countries have a shockingly low usage of generative AI at 6%. Countries using generative AI more (likely the US) will pave the way for others by creating a playbook for the use of generative AI in talent acquisition and its potential to transform hiring overall.
Mercer’s View on AI Adoption
Mercer is a professional services firm that consults on workforce-related topics, including talent management, retirement, transformation, and mergers and acquisitions. In February 2024, the company released a report. Strategic AI adoption in talent acquisition today: Overcoming barriers and unlocking tomorrow’s possibilitiesMercer surveyed 477 HR and TA leaders across a range of industries. Here’s how the report authors summarised their findings:
Despite its great potential, results generated from field data reveal that the adoption of AI within TA functions is not as significant or progressive as recent reports have suggested.
The following list shows some statistics from the report:
- 42% of those surveyed are not currently using AI as part of their TA work and have no plans to do so in the future.
- Here are the top three ways companies are using AI for talent acquisition:
- 40% use it to source and hire talent for pipeline purposes (employer-centric matching)
- 28% use it to analyze internal TA or recruiting data
- 28% use it to create social posts.
- Only 8% of companies are implementing AI-first hiring, running the entire initial hiring process from application to interview scheduling with AI.
- The report identifies three barriers to using AI-based tools in talent acquisition:
- Lack of system integration: 47%
- Lack of understanding of the tool’s effectiveness: 38%
- Lack of knowledge about recruiting tools: 36%
Mercer also Global Talent Trends Survey 2024surveyed more than 12,200 C-suite executives, HR leaders, employees and investors around the world. Among the executives surveyed, AI ranked fifth on the list of priorities for the 2024 talent agenda.
- Strengthen EX/EVP to attract and retain top talent
- Increase investment in employee benefits to improve physical and mental health
- Improved workforce planning to better inform buy/build/borrow strategies
- Improved HR/human resource analysis capabilities
- Redesigning work processes with AI and automation
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There are big problems to solve in HR and talent acquisition. As companies look ahead to the rest of 2024, talent retention and attraction, employee wellness, workforce planning, and workforce analytics are more important than AI. Companies that are using AI are doing so primarily for candidate matching, with no other primary use case. Lack of system integration and knowledge of AI tools will only be solved by technical developments, peer success stories, and educational resources. AI, while important in the early stages of its hype cycle, will not replace what people need most: a sense of purpose, mental and physical health, and improved skills.
Oliver Wyman Forum “Utilizing Generative AI”
The Oliver Wyman Forum is a think tank that surveys tens of thousands of people around the world every year. In its January 2024 report, How generative AI is transforming business and society: The good, the bad, and everything in betweencontains the results of two generative AI-specific surveys conducted in June and November 2023 among nearly 25,000 respondents across 16 countries.
The report’s authors take a sober, human look at the promise and pitfalls of generative AI in the workplace.
As the transformative power of generative AI redefines employee experiences at work and the nature of work itself, the need for organizations to demonstrate empathetic and visionary leadership has never been greater.
The 99-page report is a substantial read, but here are some highlights from the data:
- While 69% of CEOs believe generative AI will deliver broad benefits across their organizations, 70% of non-CEO executive teams believe their organizations are not ready to responsibly adopt generative AI.
- 50% of CEOs report that they have already integrated generative AI into their products and services, while 84% of employees who use AI may already have company data leaking to publicly exposed generative AI tools.
- While 96% of employees believe AI will help them in their current jobs, 60% are concerned that AI will eventually automate their jobs.
- 57% of employees report that the AI training they currently receive from their employer is inadequate.
- Currently, two in three Gen Z employees report using generative AI weekly, 78% more than their Baby Boomer counterparts.
- Around 55% of employees use generative AI at work at least once a week, but 61% of users feel they don’t have much trust in generative AI.
- 30% of job seekers have started their new job search thanks to generative AI.
- The World Economic Forum estimated in 2020 that AI and automation could lead to the loss of 85 million jobs worldwide by 2025.
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Employees are both nervous and excited about how AI can transform their jobs. But executives seem unsure about how to leverage AI responsibly by developing a coherent generative AI strategy that adopts compliant tools and provides proper employee training. Given how quickly AI will likely transform jobs, the empathy and foresight the authors mention will be critical to business success.
Leoforce and AI in North American Recruitment
Leoforce is the developer of Arya, an AI sourcing and talent intelligence platform. release of Future of AI Adoption and Transformation 2024 Reportconducted a survey of 273 HR and TA leaders across North America. Key findings from the report include:
- Only 30% of those surveyed are leveraging AI, and most companies only use it in a quarter of their processes.
- For mass hiring, AI usage rises to 42% for companies using applicant tracking systems (ATS) + AI recruiting software.
- AI adoption is predicted to soar in 2024, with 81% of companies surveyed planning to invest in AI-powered solutions to automate and enhance their recruiting processes.
- In the past two years, 30% of companies have increased their investments in automation and AI recruiting solutions.
- The top benefit cited by companies using AI + recruiting software is a 38% reduction in time spent on manual sourcing tasks due to automation.
- 64% of companies are still considering increasing investments in automation and AI recruiting solutions.
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Automation and AI are essential to hiring efficiently in a competitive market, with roughly one-third of businesses already reaping the efficiencies. However, with 70% of North American surveyed not leveraging AI, there is ample opportunity to expand, as evidenced by 81% claiming they plan to invest in AI solutions this year.
Use AI in recruiting today
SmartRecruiters has been providing AI-powered recruiting tools for over five years, and in 2018, it launched SmartAssistant, an AI-powered candidate discovery tool. Frasers GroupA UK-based retailer uses SmartAssistant to hire over 10,000 seasonal workers each year.
“SmartAssistant provides a systematic and automated way of screening and selecting, creating a curated list of pre-qualified candidates that stores can use to schedule interview appointments.”
– Adam Reynolds, Group Head of People, Frasers
A new version of SmartAssistant was released in 2023, allowing for greater transparency and customizability by skill, location, and other factors. Additionally, SmartRecruiters customers can take advantage of chatbot SmatPal, a generative AI co-pilot for communicating with candidates, with more AI-enabled analytical tools expected in the coming year.
Rebecca Carr, Chief Product Officer, SmartRecruiters Positive about the benefits of AI in talent acquisition.
“We’re at the very heart of innovation and experimentation. Companies are screening fewer people and making hiring decisions faster. They have better insight into their recruiting efforts and can be proactive in streamlining the process.”
– Rebecca Carr, Chief Product Officer, SmartRecruiters.
Rebecca shares more about how SmartRecuriters is using AI and automation safely to keep talent employed. Smart HorizonCheck out our LinkedIn newsletter.
To start recruiting more efficiently with AI-enabled tools, contact us today and request a demo.
The post 44 Statistics About AI in Hiring in 2024 appeared first on SmartRecruiters Blog.
