Abstract

Recently, the integration of digitalization has led to the prevalence of artificial intelligence (AI) in human resource management (HRM), such as the utilization of artificial intelligence (AI)-based applications during the recruitment process. These AI-driven technologies have risen to prominence due to their ability to facilitate synergistic collaboration between humans and computer intelligence to effectively achieve desired goals. This paper reviews the research conducted on AI-based HRM and its consequences for recruiting outcomes. The systematic literature review is based on a search within the Web of Science and Scopus databases, which resulted in 46 peer-reviewed journal articles published from 2019 to 2023. The findings of the study were divided into five categories: (a) AI-based HRM, (b) ethics of AI in HRM, (c) benefits of AI-enabled selection tools, (d) risks of AI-enabled selection tools, and (d) usage of AI in recruitment in different country contexts. This paper provides a general overview of AI-based HRM management and its duality and complexity. One of the toughest challenges for HRM is to maintain a collaborative spirit when human workers are with AI-enabled robots’ side by side. Organizations are required to perceive both the potential risk and the opportunities that AI recruiting tools may generate. From the perspective of article outcomes, the majority of related studies have been performed in African and Asian countries, which suggests that there is a lack of empirical studies in the European region. One of the major causes may be assumed to be legislation issues, precisely general data protection rules (GDPRs), which hinder the process of adopting technology-based recruiting tools. During AI decision making, fairness should be at the centre of the procedure. Despite some preferences for AI recruitment, such as streamlining HR tasks, this raises many ethical and legal issues that should be solved—at least balanced—not to leave feelings of unfairness among potential employees. AI-based technology solutions require significant time and effort to peacefully exist in the job market. HR managers should not have the feeling of danger of being replaced by AI recruiting tools. To combine best of both worlds, the collaboration of human resources and artificial intelligence is very prominent; however, surveillance of AI technologies should never be lost. This article sheds light on key trends in the literature and the main drivers and obstacles associated with the adoption of AI-enabled recruiting tools. There is growing academic interest in AI utilization in the HRM process, which has been discussed in the current paper. Additionally, future study recommendations are proposed.

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