Talent Acquisition

AI will affect HR, but the human element will remain essential

There is growing concern over how AI will impact the job market, including the Human Resources industry. And it is not gratuitous. Artificial Intelligence (AI) is rapidly changing the way HR works. However, it does not seem that it can replace the human judgment that, using the data provided by this technological tool, will be in charge of making decisions, with the risk - human too - of getting it right or wrong. After all, the area of talent management and HR cannot be left in the hands of technology because it would lose the essence of its function.

Having said that, Artificial Intelligence (AI) is rapidly changing the way HR operates. While it can help streamline many HR tasks and improve overall efficiency, it also has the potential to take over certain jobs traditionally done by humans.

AI is already transforming the business world significantly, and HR might see one of the biggest impacts from this innovative technology. HR is heavily reliant on data, and AI makes it easier for HR professionals to access, analyze, and make sense of this data. The use of AI in HR can help companies make better hiring decisions, improve employee engagement, and create a more efficient HR department.

One area where AI is especially transforming HR is recruitment. With AI, companies can automate the screening of resumes and identify the best candidates for the job. AI algorithms can analyze resumes and match them to job requirements, saving HR professionals a lot of time and effort. Additionally, AI helps HR professionals identify patterns in employee data, such as turnover rates and job satisfaction, enabling HR to pinpoint areas for improvement.

Another area where AI is transforming HR is employee engagement. AI-powered chatbots can help employees access information and get answers to their questions more quickly. Chatbots can also be used to collect feedback from employees and identify areas for improvement.

While AI will significantly impact HR roles by automating routine tasks and providing advanced analytics, the human element of HR—such as relationship-building, strategic planning, and employee advocacy—will remain essential. HR professionals will need to adapt and leverage AI tools to enhance their roles rather than being entirely replaced by them.

Read also:  Article: 7 ways AI can help you onboard new staff effectively (peoplemattersglobal.com)

400,000 jobs will disappear in the next ten years due to AI

The fear of AI destroying jobs is not a concern unique to this profession. A report from the Organisation for Economic Co-operation and Development (OECD) found that 27% of the region's workforce works in occupations with a high risk of being replaced by AI. This includes jobs ranging from construction to agriculture, fishing, and forestry, as well as manufacturing and transportation to a lesser extent. High-skilled jobs are least at risk of being replaced by AI. Despite the potential, adoption remains low as AI technology is still in its infancy.

The potential of AI to transform the labor market is more than evident. Companies see these new computer engines as a way to organize and attend to tasks more efficiently, improving productivity. However, some workers are wary of their survival in an environment dominated by machines. Projections by Randstad warn that 400,000 jobs will disappear in the next ten years due to AI, with 1.6 million jobs created but 2 million lost. The sectors that will generate the most new jobs will be those with a technical profile, such as programming, consultancy, professional, scientific, and technical activities.

HR Jobs That Are Getting Taken Over by AI

  1. Recruiting Managers: The automation of the sourcing and screening process is one of the most significant ways AI will change the role of Recruitment Managers. AI-powered recruiting tools can sift through resumes, cover letters, and online profiles to find the best candidates for a specific job opening. Chatbots and virtual assistants can handle FAQs, schedule interviews, and keep candidates updated on their application status. AI tools can also analyze candidate data to identify trends and insights about the recruitment process.

  2. Labor Relations Specialists: AI will impact Labor Relations Specialists by automating certain tasks, allowing them to focus on more complex issues requiring human expertise. AI can improve contract negotiation accuracy and efficiency by analyzing contracts and identifying potential issues or areas of conflict.

  3. Employment Specialists: AI can analyze employee data to predict which employees are likely to leave the company, allowing Employment Specialists to take proactive measures to retain them. Predictive analytics can also identify high-performing employees eligible for promotion or additional training. AI can improve candidate matching by examining resumes, social media profiles, and other data points.

  4. Human Resources Generalists: AI can improve employee engagement by providing insights into employee behavior and sentiment. Sentiment analysis can be used to analyze employee feedback and determine the overall mood of the organization. AI can automate payroll processing, including calculating taxes, deductions, and overtime, and ensure compliance with labor laws and regulations.

Practical Aplications of AI in HR

  • Screening Resumes: AI automates initial resume screening, reducing HR professionals' time spent on this task.

  • Candidate Matching: AI algorithms match candidates to job descriptions more accurately.

  • Interview Scheduling: Automated systems handle interview scheduling efficiently.

  • Employee Training: AI-driven platforms provide personalized onboarding experiences and training programs.

  • Paperwork and Compliance: Automated systems manage and track onboarding paperwork and compliance training.

  • Sentiment Analysis: AI tools analyze employee feedback and sentiment to identify potential issues.

  • Personalized Development Plans: AI recommends career development and training plans based on employee performance and aspirations.

  • Data Analysis: AI analyzes performance data to provide insights and identify trends.

  • Feedback Systems: Automated systems facilitate continuous feedback between employees and managers.

  • Predictive Analytics: AI predicts employee turnover and identifies high-performance factors.

  • Payroll Processing: AI streamlines payroll processing, ensuring accuracy and compliance.

  • Benefits Administration: Automated systems manage benefits enrollment and administration.

  • Succession Planning: AI helps identify high-potential employees and create succession plans.

  • Skills Gap Analysis: AI assesses current skill levels and identifies gaps within the organization.

Potential Benefits

  • Efficiency and Accuracy: Automating repetitive tasks increases efficiency and reduces human error.

  • Data-Driven Decision Making: AI provides deeper insights, leading to more informed decision-making.

  • Enhanced Employee Experience: Personalized and responsive HR services improve the overall employee experience.

Potential Challenges

  • Job Displacement: Certain administrative and repetitive HR tasks may be fully automated.

  • Skills Gap: HR professionals need to develop new skills to work effectively with AI technologies.

  • Ethical Considerations: Ensuring AI systems are free from bias and maintain employee privacy is crucial.


Read also: Article: What makes an effective HR chatbot? Your ultimate guide — People Matters Global

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