Artificial intelligence (AI) is popular for its ability to help businesses automate tasks and save time. And for businesses looking to hire new employees, AI tools can help find the right candidates faster, filter CVs and make the whole recruitment process smoother.
But while these tools make hiring more efficient, they can sometimes overlook candidates with valuable soft skills – such as communication, teamwork and problem-solving – that aren’t always easy to measure with algorithms.
The result could be disastrous for today’s hiring managers. Soft skills are increasingly being prioritised by UK organisations – a Startups survey of 531 business leaders has revealed that 64% say they are more likely to prioritise soft skills over hard skills during hiring.
More businesses than ever use AI in recruitment
AI tools are increasingly becoming the right-hand man for modern recruiters. According to a study reported by Stand Out CV, 42% of UK tech firms used AI to screen and recruit candidates in 2024, while 20% of small businesses and SMEs use an applicant tracking system (ATS) to screen CVs and cover letters.
Some are even using generative AI to write job role descriptions for open vacancies, leading to a notable decline in job spec quality that’s confusing many job hunters.
Likely, the trend will continue. The percentage of UK businesses that have adopted AI is expected to increase to 22.7% this year, equating to an additional 267,000 businesses that will use the technology in their operations, including for hiring.
“There are clear advantages to employers in using AI to streamline and facilitate recruitment processes,” Laura Oxley, Director of the employment team at Walker Morris commented. “With an increasing number of UK employers using AI for this very purpose, the trend for employers using AI recruitment tools appears to be here to stay.”
There’s a demand for soft skills, but AI tools might not meet it
AI might be a smart way to skim-read hundreds of applications at once. It can certainly identify keywords that will demonstrate technical, hard skills, such as qualifications.
However, AI tools may not yet be advanced enough to evaluate a job application to spot important, less tangible soft skills like communication, creativity, and adaptability. And these are the kinds of abilities that UK employers are increasingly prioritising.
Our survey revealed that 64% of business leaders would be more likely to hire based on soft skills over hard skills, versus just 7% who say they would not. particularly businesses that are over five years old (75%).
Human recruiters are also more likely to pick up on qualities like cultural fit for the company’s organisational culture and potential for growth – things that AI might overlook.
Amplify founder Lars Schmidt said: “Recruiters need to be able to ask questions and really understand what they’re being asked to do, and how that fits into the overall goals and objectives of a business.”
AI recruitment is missing the “human touch”, but is used for CVs
For job seekers, there have been concerns over the lack of a “human touch” in AI recruitment, with 67% of candidates believing that these tools make the process feel impersonal.
That’s despite a survey by Carmichael Fisher Search revealing that 73% of candidates would be put off from applying for a company if they knew AI was used in the screening process.
The Guardian recently shared the experience of a job seeker who landed an introductory phone interview with a finance company. However, when answering the call, they were met with an automated AI system that “sounded similar to Siri”. The candidate also claimed that the system wouldn’t let them ask questions about the role.
On the other hand, it’s been found that many candidates leverage AI as well, with 46% of job seekers using some form of it in their search, such as ChatGPT for CV writing, which could make it harder for recruiters to appraise the candidate’s unique behavioural traits.
Both parties must be careful of over-relying on AI tools in hiring. Doing so could risk a significant soft skills gap. Businesses are going to continue to adopt AI tools, but human recruiters are still essential for making deeper connections and finding the right talent.
