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2 min read

Artificial Intelligence (AI) and the Staffing Industry: An Opportunity or a Threat?

Artificial Intelligence (AI) and the Staffing Industry: An Opportunity or a Threat?

While artificial intelligence (AI) continues to drastically change the recruiting and hiring process, experts argue whether these advancements have the potential to threaten or improve the staffing industry.

The answer, for the moment, is both. Working with AI-based tools has the potential to create new jobs in the industry that require new skills, while other jobs may be threatened with elimination. Nevertheless, the ever-evolving hiring landscape and an increase in competition demand the benefits that AI can bring to the industry.

Here are the biggest improvements and threats artificial intelligence will bring to the staffing industry in the coming years.

Opportunity: AI and Machine Learning Need Assistance

There’s no question that AI will have a significant impact on hiring for decades to come. However, experts believe humans will always have an important role to play. After all, machines can be programmed to complete tasks, reverse engineer candidates, and improve the efficiency of the hiring process – but they don’t have gut instinct.

For this reason, recruiters aren’t losing their place in the process anytime soon. As recruiters learn more about AI, higher-paying positions may become available to those who can work alone and with machines.

Threat: Large Companies Have Stark Advantages

As AI tools become more widely used, some businesses will have more access than others. This will force an already-competitive industry to become even more weighted. Members of the staffing industry will need to invest in the newest and most impressive technology to keep clients and employees knocking on their door. Otherwise, they risk becoming irrelevant.

Opportunity: Increased Efficiency

The human brain wasn’t designed for boring, repetitive work. Artificial intelligence removes “tedious” tasks from the workplace, allowing you to focus on high-priority tasks without having to delegate to a coworker.

Because machines are built to complete boring and repetitive work, efficiency in the staffing industry will improve as artificial intelligence begins to handle tasks like scheduling, database creation, and background research.

Threat: Artificial Intelligence Changes the Market

Perhaps the biggest problem recruiters face when dealing with artificial intelligence is the loss of positions in other markets. It may become difficult to find qualified candidates for high-tech positions, and recruiters may be forced to turn away employees they enjoyed working with in the past.

Opportunity: Reverse-Engineering the Right Candidate

According to the CEO of artificial intelligence software company Skymind, “The question everyone is trying to answer through interviews, screens, and coding challenges is ‘How can I predict someone’s performance?’ The smartest recruiters and hiring managers would start gathering resumes, performance reviews, and information about highly successful people that already work for them and plug that into an algorithm to figure out what you’re looking for.”

In other words, as artificial intelligence improves, companies will begin “engineering” the perfect candidate based on previous experience by other employees.

At nTech Workforce, we understand the fear that comes with the demand for evolving IT staffing solutions. Contact our experienced team for assistance in your search.

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