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Talent Acquisition

Josh Bersin Research Shows AI Transforming Talent Acquisition

PRNewswire
10 months ago
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Josh Bersin Research Shows AI Transforming Talent Acquisition
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  • Jobs aren’t disappearing. Through AI, talent acquisition is fast evolving from hand-crafted interviewing and recruiting to a data-driven model that ensures the right talent is hired at the right time, for the right role with unmatched accuracy
  • Traditional recruiting isn’t working: in 2024, only 17% of applicants received interviews and 60% abandoned slow application processes
  • AI drives 2–3x faster hiring, stronger candidate quality, sharper targeting—and 95% candidate satisfaction at Foundever, from 200,000+ applicants in just six months

The Josh Bersin Company, the world’s most trusted HR advisory firm, today released new research showing that jobs aren’t disappearing—they’re being matched with greater intelligence. The research, produced in collaboration with AMS, reveals major advances in talent acquisition (TA) driven by AI-enabled technology, which are yielding 2–3x faster time to hire, stronger candidate-role matches, and unprecedented precision in sourcing.

The global market for recruiting, hiring, and staffing is over $850 billion and is growing at 13% per year, despite the economic slowdown, though signs of strain are evident. This means TA leaders are turning to AI to adapt, as AI transforms jobs, creates the need for new roles, new skills, and AI expertise.

According to the research and advisory firm, even without AI disruption, over 20% of employees consider changing jobs each year, driving demand for a new wave of high-precision, AI-powered tools for assessment, interviewing, selection, and hiring. Companies joining this AI revolution are hiring 200-300% faster, with greater accuracy and efficiency than their peers, despite the job market slowdown.

According to the report, The Talent Acquisition Revolution: How AI is Transforming Recruiting, the TA automation revolution is delivering benefits across the hiring ecosystem: job seekers experience faster recognition and better fit, while employers gain accurate, real-time, and highly scalable recruitment.

This is against a context of failure with current hiring. In 2024, less than one in four (17%) of applicants made it to the interview stage, and 60% of job seekers, due to too-slow hiring portals, abandoned the whole application process.

The research shows how organizations are already realizing benefits such as lower hiring costs, stronger internal mobility, and higher productivity. AI-empowered TA teams are also streamlining operations by shifting large portions of manual, admin-heavy work to specialized vendors.

Early successes are striking: after deploying conversational AI, a major U.S. resort operator increased scheduled interviews by 423% in 12 months while reducing candidate drop-off by 85%. A new AI TA process at Foundever hit 95% candidate satisfaction rating from over 200,000 applicants in just six months, while a leading global automotive company reported $2 million in savings in its first year using AI-powered interview scheduling.

The research highlights how AI is helping TA overcome frustrations like vague job descriptions, inconsistent interviews, and labor-intensive processes.

HR teams now use AI to automate tasks from profiling and sourcing to screening, scheduling, interviewing, and negotiating offers. Companies showcasing these successes include major international brands spanning the hospitality, food, healthcare, and technology sectors, such as Fontainebleau Las Vegas and Compass Group.

Some organizations are using AI-powered recruiting assistants to manage routine communication and negotiations. Recruiters set parameters for salary, benefits, and start dates, while the AI answers questions, updates offers, and proposes alternatives in real time. By automating tasks and personalizing the experience, AI shortens turnaround times and frees recruiters to focus on strategy.

The vendor market is transforming, with SAP acquiring SmartRecruiters and Workday acquiring Paradox to stay competitive. Innovations include AI agents enabling automation of the full hiring journey (Eightfold AI, Maki People) conversational AI for candidate engagement (Glider AI, Paradox, Radancy), AI-driven assessments (CodeSignal, HireVue, TaTiO), and platforms that benchmark roles against labor market data (Draup, Galileo, Lightcast, Reejig, SeekOut, TechWolf).

Report author and Josh Bersin Company Industry Analyst & Senior Research Director, Stella Ioannidou, says:

“For decades, TA has been viewed as a cost center, focused on using applicant tracking systems to manage incoming candidates and relying on recruiters to screen and interview. This process was slow, expensive, and delivered a poor experience for job seekers.

“Today, by leveraging AI-powered platforms and integrated data, TA teams can identify, attract, and engage the best talent in the market with unparalleled precision, often before competitors even know those candidates are available—resulting in a proactive, data-driven approach that enables organizations to respond quickly to changing business needs, seize new opportunities, and fuel growth from within.”

Chief Executive Officer at AMS, Gordon Stuart, says:

“This research paper captures the urgency and scale of the AI revolution which is transforming TA. It doesn’t just reflect what’s happening now, it helps us understand what’s next. Candidates want speed, clarity, and connection. Recruiters need tools that free them to focus on strategy and relationships. And businesses must rethink how talent acquisition fits into their broader growth agenda. AI is not just automating tasks, it’s redefining roles, workflows, and expectations across the board. The cumulative power of people, process, data and technology is heralding a new era for talent acquisition.”

Global industry analyst and Josh Bersin Company CEO, Josh Bersin, says:

“AI is expected to provide CHROs with a data-rich view of talent comparable to an integrated supply chain, enabling them to track and analyze every detail of each hire with the same precision a luxury Swiss watchmaker applies to every component and its origin.

“This transition transforms HR from handcrafted processes to precision, dynamic hiring—something once unattainable without AI.

“The implications are significant for all stakeholders, particularly CEOs. Organizations that lacked a precision hiring process have historically faced millions in lost revenue, high turnover, and misaligned talent—but those days are now coming to an end.”

This new research follows previous Josh Bersin Company findings demonstrating how AI is transforming another core HR function: Learning & Development.

The Josh Bersin Company’s Galileo Suite delivers both strategic guidance and hands-on tools through its AI Agent for HR, as well as hyper-personalized learning through the exclusive Galileo Learn certificate course, AI-First TA Transformation.

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TAGGED:HR techHR Tech Articleshr tech newsHR technologyHuman Resource Current UpdatesHuman Resource TrendsJosh Bersin Companytalent acquisition
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