Half of job-seeking individuals rely on artificial intelligence to craft their resume applications
In the modern job market, the use of AI has become increasingly prevalent, with candidates leveraging AI-generated CVs to present themselves as the "Perfect Candidate." However, a closer look reveals a troubling reality: bare-faced lies, deceit, and AI exaggerations.
This revelation presents several risks and challenges for recruitment companies. The surge in AI-assisted applications leads to a flood of resumes, many of which are low-quality or irrelevant, increasing the time recruiters spend filtering them. High-potential candidates may be buried in this overwhelming volume, making it harder to identify suitable hires quickly.
Moreover, the use of AI raises concerns over the integrity of the job application process. Fraudulent applicants, with embellished or inaccurate skills and experience, may enter the recruitment pipeline, increasing the risk of fraud. Bias and fairness concerns also arise, as AI tools may introduce or amplify bias, unintentionally excluding qualified candidates, particularly from underrepresented groups.
Recruiter burnout and slower hiring timelines are another consequence. Handling the increased application volume with questionable application quality contributes to slower processes and recruiter fatigue. Compliance and legal risks also loom large, as using AI in hiring must adhere to evolving laws and regulations to avoid discrimination claims.
Human oversight is essential to ensure accuracy and fairness in assessing applications enhanced or generated by AI. AI cannot fully replace human evaluation because it may misinterpret or oversimplify candidate data. Oversight and human judgment challenges are, therefore, crucial.
Candidate experience risks also need to be considered. Some candidates may find AI-driven hiring impersonal or intimidating, potentially deterring qualified applicants who value human interaction.
Pete Treloar, Chief Underwriting Officer of Hiscox UK, comments on the use of AI tools in job applications, "It's crucial for recruiters to be aware of the potential pitfalls and to ensure they maintain a balance between efficiency and quality, bias, legal compliance, and human judgment."
To learn more about the insurable risks that recruitment companies face from new threats like AI deception, visit hiscox.co.uk/the-perfect-candidate.
The campaign by Hiscox, titled "The Perfect Candidate," highlights these challenges faced by recruiters and hiring managers due to the increasing use of AI tools in job applications. This is the first of a number of Hiscox campaigns addressing issues related to AI deception in the recruitment industry.
The study by Hiscox, conducted in April 2025 by Attest, surveyed 1000 candidates who have made applications in the past 12 months. The campaign was developed by creative studio Uncommon and is part of a wider effort by Hiscox to shed light on largely-unknown specific risks faced by specialist sectors like recruitment.
Exaggerating experience (53%) is the most common embellishment, followed by adding hobbies that they don't have (41%). Over 38% of job applicants admit to being dishonest on their CV. AI tools can produce generic and impersonal content that doesn't truly reflect a candidate's skills, experience, and suitability for a role.
Over half of job applicants believe using AI tools in job applications is 'fair game.' However, 37% of job applicants would not correct embellishments made by AI tools. The use of AI tools is divisive among candidates, with some viewing it as a way to present their best self, while others express concerns about its impact on the job application process.
AI tools are used by candidates for CV writing (53%), remote interviews (29%), and online tasks or assessments (45%). As the use of AI in job applications continues to grow, it is essential for recruiters to navigate this landscape carefully, balancing the efficiency offered by AI with caution around quality, bias, legal compliance, and maintaining human judgment throughout the hiring process.
- In the context of the job market, the increasing use of AI tools by candidates in their careers, such as AI-generated CVs, raises valid concerns about the integrity of the business.
- As AI becomes more prevalent in job applications, it is crucial for recruiters to strike a balance between efficiency, quality, bias, legal compliance, and human judgment, given the common practice among candidates to exaggerate their experience or skills.