AI is revolutionizing HR in the workplace today. HR is utilizing AI to streamline operations, enhance employee experience, and drive better hiring decisions. HR processes are being streamlined by leveraging machine algorithms, language processing, and predictive analytics. People management systems and data are simpler when digitized and automated. Advancements in AI have made training, learning, and performance management all easier.
Advancements in AI have also reduced costs and improved the overall workflow. 76% of HR personnel believe that failing to adopt AI in the near foreseeable future will cause organizations to lag in success. Companies with high levels of automation are 6X more likely to see their revenues increase by over 15% than those with minimal automation. HR professionals today leverage AI to enhance various HR functions and use AI to automate tasks.
AI tools in HR are software solutions that leverage technology to generate actionable conclusions, improve operational efficiency, provide granular and comprehensive analysis, lead to strategic insightful choices, and personalized support to nurture top talent. Applications of AI include the ability to screen resumes, match candidates to job requirements and schedule interviews.
AI can analyze performance data, identify patterns, and suggest areas of improvement. AI can automate the process of sourcing and outreach and help you view different data sets, providing personalized learning, onboarding, and career recommendations. AI tools can further help HR leaders to be more efficient and accurate, ultimately saving costs for the organization.
AI adds great value to HR functions and simplifies daily operations related to talent and employee management. Apart from being used in administrative and operational tasks, it can also provide strategic insights. AI automates HR tasks enabling HR professionals to focus more on the competency and strategic aspects of the business.
Here are some key HR areas where AI tools for HR teams are making a difference.
Machine learning reduces hiring time by speeding up the application review process and minimizing administrative internal friction around interview scheduling and candidate assessment.
By utilizing AI to analyze trends in employee turnover and market conditions, machine learning can help organizations to hire the right people, at the right place and time.
AI tools trained on large data sets can review and analyze performance to reduce bias in the assessment process.
AI solutions can guide new joiners step-by-step through important processes, and eliminate the need for reminders, follow-ups, and detailed checklists.
AI for HR can also be used across areas such as:
AI tools for a variety of functions are thriving in meeting HR needs. Generative AI in particular has taken HR departments by storm, improving efficiency from recruitment to learning and development – however formal adoption of AI is still very much in progress.
In this listicle, we provide the details of the top AI-powered HR tools, describing everything from their features to pricing.
Attract AI is an AI recruitment tool that learns your preferences to deliver personalized, high-quality candidate results. It has a unique search model that reveals profiles from over 700 million candidates across 40+ social platforms.
Features:
Pricing: Custom. Tiered pricing options allow you to pay only for services that you use. Monthly and annual subscription offers are also available.
Checkr utilizes AI and Machine Learning (ML) to quickly analyze and sort data for background checks. The process is much faster when compared to traditional methods, with 84% of the checks done in less than 15 minutes. The tool does over 1.5 million checks per month and also utilizes AI to provide an accurate Estimated Time of Arrival (ETA) for each background check report.
Features:
Limitations: Checkr can have potential delays in screening results, inconsistent international coverage, and reliance on public court records, which may only be partially updated.
Pricing: The basic plan starts from $29.99 per check, the essential plan starts at $54.99 per check which includes an in-depth criminal search down to the country level, and the professional plan starts from $79.99 with additional verifications for advanced roles.
Enboarder is a ‘cool’ AI that makes bringing new people into teams fun. It is a tool that HR personnel can use to set up people with fun activities to help them feel welcome and help managers make good first impressions.
Enboarder’s approach has resulted in a 20% yearly decrease in early employee turnover, a 50% reduction in candidates who take up the offer but do not join, and a 65% increase in new-hire productivity.
Features:
Limitations: Some limitations include lack of 360 feedback or employee recognition, difficulty making changes, inability to track changes, inability to change workflows, ineffective bulkboarding, and costly pricing options.
Pricing: Starts from $9,950 per year. Unfortunately, there are no free versions or free trials available.
SAP SuccessFactors Learning utilizes AI to offer personalized learning paths for employees in their career growth.
Features:
Limitations: Limitations of SAP SuccessFactors Learning include character limits in fields, restrictions on large data uploads via API, limitations on search functionality, potential performance issues with complex course structures, lack of native e-signature support, and restrictions on recording events for specific scenarios.
Pricing: $22.20 per user per month.
The Edcast Learning Experience Platform (XLP) deals with learning and career growth at work. It uses AI to personalize learning recommendations for employees with an AI search feature that helps find learning content tailored to each user’s skills, interests, and performance data.
Features:
Limitations: Users must be 18 years old and of legal working age to use this service. Edcast is not intended for anyone under the age of 16.
Pricing: Starts at $1 per year. No free trial or free version.
Kona offers personalized coaching to remote managers in Slack. It integrates with existing documentation, training, and tools to give advice that fits your company’s values.
Features:
Limitations: Kona’s primary limitations lie in its inability to fully replicate the nuanced understanding of human emotions and complex situations, and the inability to adapt to unpredictable scenarios.
Pricing: $49 per user per month. Free and trial versions are available. An enterprise plan is available with personalized support and bulk discounts.
Headspace for Employers provides on-demand mental health care. It uses AI to match users with coaches, summarise session notes, and generate smart replies for conversations. They serve about 2,500 business clients.
Features:
Limitations: While Headspace offers a range of mental health tools, some limitations include a lack of individualized clinical support for serious mental health issues, potential privacy concerns regarding employer access to usage data, reliance on self-guided practices, limited ability to address complex workplace dynamics that may contribute to stress, and the possibility of not fully addressing diverse needs within a workforce.
Pricing: Pricing depends on company size and features. Discounts are provided for larger organizations. A comprehensive plan is available with leadership workshops and robust reporting which is for a higher price per employee per month
Syndio is a pay equity platform that provides automated compensation analysis and expert guidance. It Identifies and addresses bias in company policies to prevent pay gaps between employees.
Features:
Limitations: Limitations with Syndio deal with how often the data can be refreshed and if it can be done without recreating work, whether the platform can analyze all forms of compensation, use case support, ease of use in running analysis, and concerns regarding password management policies.
Pricing: Available on request.
UKG Pro HCM enhances HR operations like payroll and service delivery. It addresses disparities in demographics, pay, promotion, and overtime.
Features:
Limitations: Some key limitations of UKG Pro HCM include a steep learning curve due to its extensive feature set, potentially complex implementation process, not-so-advanced custom reporting capabilities, potential issues with benefits administration automation, and user interface that might not be intuitive for all users.
Pricing: Available on request.
A prediction solution using advanced machine learning (ML) capabilities to help HR and managers make data-driven decisions regarding compensation. Beqom’s Pay Predictor uses advanced learning and regression models for data-driven compensation decisions.
It sets competitive pay ranges, predicts turnover due to disparities, and runs simulations to compare pay changes to market rates and budget. It ensures pay equity across the organization.
Features:
Limitations: Beqom Pay Predictor, while being a powerful tool for compensation forecasting has its limitations, including dependence on data quality, inability to fully capture market fluctuations, potential bias in algorithms, complexity in incorporating unique organizational factors, and need for ongoing data maintenance to ensure accurate predictions.
Pricing: Custom pricing. Typically sold as a subscription service based on the size of your company.
58% of workers desire personal insurance advice. PlanSource’s DecisionIQ automatically provides personalized benefits recommendations to all employees. It helps reduce costs by helping employees choose the best plans.
Features:
Limitations: Removing employees from the platform has to be done manually, site flexibility is an issue, and adjusting costs cannot be done.
Pricing: Plansource offers a range of technology-enabled benefit services. They have three plans; Core Platform, Core+ Platforma, and PlanSource Premium. The core platform provides technology to administer and manage employee benefits and engagement.
The Core+ platform is suitable for customers who want to stay involved in the day-to-day administration benefits work but also require support to ease the admin burden in a specific area. In PlanSource premium, all aspects of benefits administration are managed, from processing new hires to managing EOI requests and data exchange with carriers.
EightFold Talent Intelligence automatically suggests which employees are ready to step into new roles. It provides relevant projects, upskilling, and training opportunities.
Features:
Limitations: While Eightfold’s Talent Intelligence platform is considered advanced, some limitations include heavy reliance on hard skills over soft skills assessment, potential bias in AI algorithms, data quality dependence, limited customization for niche industries, and a steep learning curve for non-technical users.
Pricing: The starting price is $650 per month – you can get custom quotes on the platform.
Workhuman is an employee recognition platform focused on making the workplace more human. It helps to reduce employee turnover and increase satisfaction by focusing on human connections. The platform allows business leaders and organizations to transform their workplace through peer-to-peer recognition and recognition rewards.
Features:
Limitations: The reward system could be more transparent and equitable. The gift card selection is limited.
Pricing: The average cost is around $79,000 per year. The minimum price is $10,000. A 6-month free trial is available. Enterprise programs include custom branding, strategy consulting, onboarding, and launch programs.
Reclaim AI is an AI-powered scheduling application for busy teams and HR professionals. It automates the tasks scheduling, meetings, and breaks with Google Calendar, effectively streamlining the planning process.
Features:
Limitations: The free tier limits some features, like custom hours setting, and doesn’t allow integration with task or project management tools. It only works with Google Calendar, lacks scheduler features and there is no app.
Pricing: Free version available. Paid subscription plans start from $8 per user per month billed annually.
Breathhh is a workplace well-being companion to alleviate tension, stress, and anxiety. It uses AI to analyze and introduce mindful practices into your browsing experience, enabling HR teams to provide scientifically proven breaks to enhance well-being.
Features:
Limitations: While Breathhh presents itself as a helpful workplace well-being companion, its limitations include potential issues with user engagement and reliance on self-discipline for consistent practice.
Pricing: A free version is available, with paid plan information available on request.
Assembly is an AI-powered intranet platform that makes internal communication and team collaboration simpler. It offers a streamlined solution for integrating communication, collaboration, and engagement, simplifying access to essential information.
Features:
Limitations: Excessive information and a difficult adoption process.
Pricing: A free version is available. The paid subscription plan starts from $2.80 per member per month when billed annually.
iMocha is an AI-powered Skills Intelligence Cloud Platform that helps enterprises build a skills-first and data-driven ecosystem of upskilling, hiring, and talent management at scale for any job role and industry. It delivers accurate, reliable, and actionable insights into the skills and abilities of candidates and employees.
Features:
Limitations: Limitations in sharing and editing tests, difficulty in re-inviting applicants and there are no email notifications for test expiration.
Pricing: Available on request.
HireVue assesses video interviews by analyzing candidates' voice tone, facial expressions, and word choice to assess how well they align with the job requirements. This helps HR teams evaluate candidates more effectively with a focus on skill sets and behavioral fit.
Features:
Limitations: A disadvantage of HireVue is the system cost.
Pricing: The starting price is $35k.
Lattice helps managers improve the performance review process by helping them write actionable feedback and provide high-quality performance reviews – streamlining the process by offering rephrasing options. Its AI-powered Writing Assist feature suggests improvements in language to ensure that feedback is precise, inclusive, and effective.
Features:
Limitations: Limitations of Lattice include character limits, exporting lattice structures to CAD, and using variable pay.
Pricing: $11 per person per month.
Effy AI makes running your 360-degree review super quick, in just 60 seconds! It does everything from setting up the questionnaire and matching participants to monitoring the progress and notifying everyone involved. It summarises all the responses and creates detailed AI-generated review reports for you.
Features:
Limitations: Integration issues, limited options, slow performance, and loading time.
Pricing: Free.
Visier uses AI to provide advanced predictive analytics, helping HR teams identify trends and forecast future workforce needs. By analyzing historical workforce data, AI models can predict talent shortages and enable HR to plan strategically. This data-driven approach supports informed decision-making for workforce planning, ensuring HR teams are prepared for future challenges.
Features:
Limitations: Properties with more than 50% missing values are excluded.
Pricing: Available on request.
AI within HR departments can be significantly beneficial for HR professionals, as it helps with HR automation, provides data insight for decision-making, and allows HR teams to focus on more strategic initiatives such as employee engagement and talent development, making AI a valuable tool.
However, proper implementation and ethical considerations are critical to avoid potential downsides, such as job displacement and lack of human touch. That being said, here are some of the potential benefits of AI:
Recruitment optimization: Tools like Attract.ai can automate resume screening, candidate matching, and interview scheduling, significantly reducing the time to hire and improving the quality of candidates.
Increased accuracy: AI-powered tools reduce human error. Human errors in data entry alone are about 4% (400 per 10,000 entries). Bad data can be very costly, with the US losing around $3.1 trillion yearly. Automating these tasks helps reduce mistakes caused by human oversight or fatigue.
Data-driven decision-making: With the help of AI, HR teams can make better decisions. AI-powered platforms provide deep insights that may not be evident through manual analysis. Data can be used to track where the best employees come from and where they go when they leave. This helps the company to understand career paths and attract the right talent into the organization.
Performance management: AI-powered systems can provide real-time feedback, identify areas of improvement, and track employee performance metrics more effectively.
Enhanced efficiency: AI-powered tools automate time-consuming tasks like data entry, scheduling, and initial candidate screening. This frees HR professionals to focus on strategic and personalized aspects of their roles. A CareerBuilder survey showed that employers who used automation in their hiring and management processes are happy with the results, with 93% saving time and increasing work efficiency.
Predictive capabilities: AI can forecast future trends, like employee turnover, recruitment needs, and the effectiveness of HR policies. IBM AI can predict which employees are about to quit with 95% accuracy. This allows companies to address problems before they become issues.
Customized employee experiences: Generative AI tools used by HR can analyze individual employee data to provide personalized recommendations for career development, learning paths, and wellness programs. Recruitment engagement doubles when personalized messages are written using AI, which helps create a more satisfied and engaged workforce.
The future of AI not only holds significant promise but also transformation within the HR profession. As AI continues to reshape how HR professionals operate, it will be imperative for them to develop new skills that bring value to the business. It’s important to be cautious while using these tools so that the workplace doesn’t feel cold and distant from the employees.
That aside, here are a few factors to consider while adopting AI tools in HR processes.
Data Quality
Ensure the data used to train cutting-edge AI models is accurate, comprehensive, and representative of the workforce to avoid biased outcomes.
Transparency and Explainability
It is important to understand how AI tools make decisions. Let candidates and employees understand the criteria AI tools use to make decisions that affect them. This increases trust in the organization.
Bias mitigation
AI systems can perpetuate existing biases if they are trained on biased data. This can lead to unfair decisions in layoffs, promotions, and hiring. To prevent this, AI tools need to be constantly audited for any biases or unfairness.
Data privacy and security
Select tools that have built-in privacy features to safeguard your information. It’s crucial to ensure that the AI tools you use comply with data protection regulations. Work closely with your compliance and security teams to keep your data safe. This will protect the personal information of your employees and the company.
Monitoring and improvement
Regularly review the performance of AI tools, update algorithms as needed, and make modifications based on feedback.
Even with its challenges, AI holds great promise for the future of HR. Its impact will be crucial to the success of organizations. AI tools help streamline processes and drive efficiency and productivity in the organization by providing outstanding HR solutions. Going forward, HR professionals can leverage AI technologies to improve workplaces and drive business outcomes.
AI is transforming HR by automating repetitive tasks like resume screening, scheduling interviews, and onboarding. It helps with predictive analytics, spotting talent trends, and assessing employee performance. AI-powered chatbots handle FAQs, making HR more accessible. Plus, it personalizes training and career development, thus creating a more engaging employee experience.
AI won’t replace HR — it’ll reshape it. Human connection and empathy are key in human resources, and AI can’t replicate that. Instead, AI takes over mundane tasks, freeing HR professionals to focus on strategic decisions and fostering workplace culture. It’s more of a partner than a threat to the HR role.
Machine Learning (ML) is like a smart assistant that learns from data to improve processes over time. It helps predict which candidates will fit your company the best, spot trends in employee churn, and personalize training programs. ML automates decision-making, making HR more data-driven and less reliant on guesswork.