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Artificial intelligence will cost HR jobs but increase HR's influence in the business

Artificial intelligence is a mixed blessing for HR professionals, potentially taking jobs but in the process making HR more strategic, according to a survey of European HR directors
SD Worx
Result-driven HR

Artificial intelligence and computer science

Businesses are investing heavily in digitalisation and are increasingly using computer-controlled processes in their various departments. They are also investing in artificial intelligence (AI) to an ever great extent. With AI, technology makes autonomous decisions (in some cases), so human intervention is no longer necessary. HR professionals who use AI mainly do so to screen CVs and to send messages to specific target groups automatically via social media, and for staff training and development, for example.

According to a survey of 1,000 HR professionals in Belgium, the Netherlands, France, Germany and the UK, conducted by iVOX on behalf of SD Worx, six in 10 European HR professionals believe AI will lead to job losses in their sector by 2025. Half, on the other hand, believe that AI could also create new jobs. In addition, European HR professionals believe that AI could increase the influence of HR over the company's business.

AI will cost jobs but will also create new ones

AI has huge potential in terms of enabling HR managers to work more strategically than ever before

European HR professionals are divided over the prospects that Artificial Intelligence offers in terms of jobs in their sector by 2025. Half of all the HR professionals surveyed believe that AI will lead to more jobs in their sector, while only about one in three (32.1%) believe that this will not be the case. 59.5% also believe, however, that AI will result in job losses by 2025.

Artificial intelligence impact on job creation

Impact of AI on job creation and losses by 2025

Mixed feelings within own HR department too

European HR professionals believe that the impact of AI will also be felt within their own HR departments. As far as job creation is concerned, opinions are divided. Four out of 10 (40.4%) believe that jobs will be created, while roughly the same number (41.2%) believe that this will not be the case. Again, the majority of HR professionals (56.6%) believe that the emergence of AI will also lead to job losses within their own HR departments.

Artificial intelligence impact on HR departments

Impact of AI on job creation and losses by 2025 in their own HR departments

AI may, however, make HR more important

In spite of the negative impact that they believe AI will have on HR jobs, 60.2% of European HR professionals believe that AI represents an opportunity to increase the impact of the HR department on their company's business. However, more than four out of ten (43.3%) also see AI as a threat to the impact of the HR department on their company's business.

However, European HR professionals are divided over the impact of AI on the role of the HR department within their organisation. More than third, 35%, believe that the role of HR will increase, 44.3% think that it will decrease and 20.6% think that AI will have no impact on the importance of HR within the business.

AI doesn't just impact on job creation/losses

European HR professionals are convinced that AI will affect all HR processes. According to the European HR professionals surveyed, AI will primarily have an impact on time and attendance, recruitment and selection, learning and development, and performance management.

Finally, European HR professionals say that they will recruit on the basis of other competencies as a result of AI. The ability to solve complex problems, focus on service, flexible thinking and people management in particular will become more important.

"It's not really surprising that HR professionals don't yet have a completely clear picture of how artificial intelligence will impact on HR in terms of job losses or job creation, or of how our work will change. This is consistent with previous surveys around digitalisation in general and the impact that it will have.

"Computers won't be replacing everyone in the workplace any time soon, and the human factor will still be hugely important in HR. Clearly, however, AI has huge potential in terms of enabling HR managers to work more strategically than ever before. We are already seeing this among our clients, who are defining or reviewing their HR policies on the basis of predictive analytics,” says Jan Laurijssen, managing consultant at SD Worx.

Download the paper and the infographic with the results here

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