Managers Are Letting AI Decide Who Gets Hired and Fired—Often Without Human Oversight

AI is widely used in HR, with many managers relying on it for promotions and firings. However, risks like bias and errors mean human oversight remains crucial.

Categorized in: AI News Human Resources
Published on: Jul 03, 2025
Managers Are Letting AI Decide Who Gets Hired and Fired—Often Without Human Oversight

Your Next Move: How AI Is Making Hiring and Firing Decisions

Artificial intelligence is increasingly involved in workplace decisions, especially within human resources. But allowing AI to make critical choices like hiring or firing employees raises serious questions. Some lawmakers are already pushing back, such as with California’s proposed “No Robo Bosses Act,” which aims to restrict AI's role in managing people.

A recent survey by ResumeBuilder reveals how deeply AI has integrated into HR tasks. Among over 1,300 U.S. managers surveyed, 65% reported using AI at work. Even more striking, 95% of those managers said AI plays a part in decisions about their direct reports.

AI in Promotion, Raises, and Terminations

More than half of these AI-using managers rely on AI tools to determine promotions, raises, layoffs, or firings. When considering all U.S. managers, that means roughly 30% are already turning to AI for these consequential decisions. These choices don’t just shape careers—they affect lives and families.

Even with such high stakes, many managers feel confident in AI’s fairness. Over half believe the AI tools they use are unbiased. Yet only about one-third have received any formal training on AI’s capabilities and its limits. Alarmingly, 20% allow AI to make decisions without any human review.

Risks of Relying on AI for HR Decisions

AI is far from perfect. It can generate false information and sometimes outright fabricates details. MIT researchers have documented numerous ways AI can negatively impact society, including in workplace settings. Legal experts warn that unverified AI decisions could expose companies to discrimination lawsuits and other legal problems.

This is a crucial warning for HR professionals: blindly trusting AI in hiring or firing processes can have serious consequences. It’s essential to understand that AI tools may not always be accurate or impartial.

Why This Matters for HR Pros

AI tools are tempting because they’re accessible and can speed up routine tasks. For example, companies like Microsoft are integrating AI to help track employee skills and assist with communication. But using AI to decide someone’s job status isn’t the same as asking it to draft an email.

The survey doesn’t clarify exactly how managers use AI. Some may simply use it to summarize performance reports, while others might rely more directly on AI recommendations. Even using AI for summaries can introduce errors, as recent incidents at major companies have shown.

  • Always verify what the AI tool is actually doing.
  • Double-check outputs carefully before making any decisions.
  • Retain human judgment in hiring, promotion, and firing decisions.

For HR professionals interested in learning more about how to responsibly use AI in the workplace, Complete AI Training offers courses that cover AI fundamentals and best practices.

In short, AI can support HR tasks but should not replace critical human decisions. Use it as a tool—not as the boss.