The integration of AI technology has become nearly omnipresent in the recruitment landscape, influencing both potential employees and employers in their search for compatibility.
Artificial intelligence (AI) has woven itself into the fabric of job applications, serving multifarious roles from crafting resumes to screening candidates. For job seekers, bypassing AI in the evaluation of their resumes has become an increasingly daunting prospect.
A recent study conducted by Indeed reveals that over 25% of hiring managers in Canada leverage AI tools for their recruitment efforts. Complementary research from Career Group of Companies indicates that approximately 65% of candidates are also utilizing this technology in their job searches.
Arsham Ghahramani, co-founder and CEO of Toronto-based AI recruiting platform Ribbon, states, “The value of an application is diminishing; anyone can generate a meticulously tailored resume using ChatGPT in a matter of seconds. The quality of output no longer distinguishes good applicants from the mediocre.”
The surge of AI in the resume and cover letter domains, coupled with an influx of applications, spurred Mr. Ghahramani and his co-founder to devise an automated interviewing solution.
Candidates applying to positions with Ribbon’s 450 clients across 30 nations—including around 40 in Canada—must engage in a video interview with the platform’s AI chatbot. This sophisticated software assesses candidates according to predefined employer criteria, offering data, video recordings, and transcripts for streamlined decision-making.
“The application process lacks efficacy in differentiating candidates, but an interview reveals significant insights,” Mr. Ghahramani asserts. “We’re not making decisions; rather, we’re providing information that simplifies the recruiters’ tasks.”
Candidates are duly notified during the application phase and at the onset of interviews that they are engaging with an automated system. Although they retain the option to withdraw, Mr. Ghahramani notes that fewer than 1% exercise this choice.
“The alternative is typically scheduling a call with a recruiter, which can often be inconvenient and time-consuming. In contrast, an AI interview can be conducted anytime, 24/7, allowing candidates to expedite their interaction with prospective recruiters,” he explains, underscoring mutual advantages.
Mr. Ghahramani emphasizes that Ribbon has undergone extensive testing and certification to ensure compliance across jurisdictions, suggesting that AI technology adheres to more stringent standards than human recruiters.
As reliance on AI for employment decisions escalates, lawmakers in Canada are only beginning to enact regulations. However, existing legal frameworks remain scant and vary significantly from province to province.
For instance, British Columbia and Alberta have privacy statutes that may apply to AI recruitment practices, though these provisions have yet to be legally challenged within this context, according to Erin Schachter, an attorney at Ogletree Deakins in Montréal.
“In Quebec, legislation is explicit regarding permissible actions,” she notes, indicating the province’s proactive stance on AI governance. “Companies are obligated to disclose their usage of AI, enabling candidates to inquire about data parameters and request human review.”
A recent amendment to Ontario’s Employment Standards Act mandates that employers with 25 or more employees disclose the use of AI in screening processes starting January 1, 2026.
Ms. Schachter, who specializes in data privacy and cybersecurity law, cautions that even in provinces where AI usage must be disclosed, employers are not required to offer candidates an opt-out option.
While dedicated laws pertaining to AI in hiring remain scarce in Canada, broader protections for employees exist regardless of the decision-maker, whether human or algorithmic.
“Alternative regulations may apply, and reliance on these tools could expose employers to potential violations of human rights, privacy, or existing labor standards,” warns Georg Reuter, partner and co-leader of the employment and human rights group at Vancouver’s Richards Buell Sutton. “Employers should not exploit AI as a shield against accountability, asserting they lacked influence over algorithmic decisions.”
As the legal landscape evolves, recruiters advocate for caution and transparency in the implementation of AI for candidate evaluation.
“If candidates feel discriminated against due to AI’s role in hiring, it is often a reflection of employers’ overreliance on AI without critical assessment,” affirms Tara Parry, director of permanent placement services at Robert Half Canada. “Excessive dependence on these systems often results in misjudgments.”
Notably, Amazon was compelled to abandon its AI recruiting tool in 2018 after discovering that it fostered bias against female applicants. Recently, a class-action lawsuit was filed in 2025 against Workday, alleging discriminatory practices in its widely used AI applicant screening technology.
Ms. Parry similarly advises candidates to employ technology judiciously, utilizing it for tasks such as formulating practice interview queries and researching potential employers, rather than relying entirely on automated systems for crafting applications.
“Embrace the technology, but be circumspect in its application,” she emphasizes. “Valuable insights can be gleaned when employed thoughtfully, as opposed to seeking mere shortcuts, which can lead to pitfalls for both candidates and employers alike.”
Source link: Theglobeandmail.com.
