Employers are facing an unprecedented influx of job applications as job seekers increasingly leverage artificial intelligence (AI) tools to craft cover letters and resumes. This trend, particularly prominent in white-collar sectors, has raised concerns about the authenticity of applications and the potential for wasted efforts.
Zoe Sullivan, head of people and culture at Co-Op Group, a labor hire organization, notes a significant increase in application volumes due to AI. “Some applicants are using AI to polish their CVs, but many are using it to falsely present themselves,” she explains. Sullivan cites a recent case manager position that attracted nearly 100 applicants, a stark rise from the usual 10 to 20. “It was very difficult to discriminate between what experience people have and what they don’t,” she adds.
AI’s Dual Role in Job Applications
Joel Delmaire, chief strategy and product officer at AI recruitment software firm JobAdder, reports a 42 percent increase in job applications over the past year. He identifies two distinct behaviors among candidates: the “machine gun application” approach and the tailored resume strategy.
“Candidates can now prepare applications much faster,” Delmaire says. “The ‘machine gun’ approach involves spamming resumes to a wide range of employers, generating hundreds of versions using AI. The other behavior, which is more likely to be successful, involves tailoring resumes and using AI as a guide to prepare for jobs that are a good match.”
David Holland, managing director of talent solutions at Employment Hero, observes that while AI-driven cover letters and resumes can streamline the application process, they also lead to an increase in irrelevant applications. “Candidates who rely too heavily on AI end up wasting time,” he warns. “On paper, someone might score 90 or 95 based on a technical review, but it doesn’t translate in interviews.”
Employers Embrace AI in Screening Processes
In response to the surge in AI-generated applications, businesses are also turning to technology. Sarah McCann Bartlett, CEO of the Australian HR Institute, notes that companies are increasingly using AI to sift through the high volume of CVs and cover letters. “The screening process has become extremely onerous for employers, hence the increasing use of AI,” she states.
Some companies, like Zip, encourage the use of AI in recruitment, viewing it as a core skill for the future. Meanwhile, McKinsey integrates AI collaboration into its graduate recruitment process. Holland estimates that 90 percent of medium and large businesses in Australia have adopted AI in their hiring processes, with exceptions in retail and hospitality sectors.
“Using AI can free up time for hirers to focus on understanding who the person is and what they genuinely bring to the role,” Holland explains.
AI in Practice: Case Studies
JobAdder’s surveys reveal that over 80 percent of businesses use AI in their hiring process, up from 69 percent last year. Bunnings, a major employer, utilizes an AI interview platform in the early recruitment stages, featuring an online questionnaire with behavior-based questions. This method, according to a Bunnings spokesperson, is “completely unbiased” and focuses solely on answers compared to company criteria.
Despite the AI integration, Bunnings maintains a human touch in its recruitment process. “The recruitment team is responsible for reviewing applications, conducting in-person interviews, and making all decisions throughout the hiring process,” the spokesperson emphasizes.
The Future of AI in Recruitment
As AI continues to reshape the recruitment landscape, both job seekers and employers are adapting to the new dynamics. While AI offers efficiency and speed, the human element remains crucial in evaluating candidates’ true potential and fit for roles.
Looking ahead, the challenge lies in balancing AI’s capabilities with the nuanced understanding that only human recruiters can provide. The integration of AI in recruitment is likely to evolve, with ongoing adjustments to ensure that both employers and job seekers benefit from this technological advancement.