Artificial intelligence is reshaping the HR profession. Nearly half of all hiring managers are using AI to screen CVs and applications, and many are already implementing it to make personal day-to-day work tasks easier and quicker.

HR professionals are clearly embracing the informal use of AI tools like ChatGPT, with Brightmine data showing that 66.3% are using AI in some capacity - a 12 percentage point increase from last year. However, despite this, just 3.6% of organisations have formally integrated AI into their HR processes.

Three major barriers are holding organisations back

In terms of what is holding organisations back, three chief obstacles remain at the forefront; time, the skills gap and ethical or data privacy concerns.

Time is the most cited barrier, with 60% of HR professionals too stretched to look at formal implementation programmes. While AI could help ease the workload for HR, setting it up formally takes time, which can feel overwhelming. There are a few options to facilitate adoption of AI into HR processes. Free sources like ChatGPT can help to generate ideas but they could leave an organisation exposed to compliance and data risks. Building your own systems requires the relevant tech expertise and resources. The alternative is to utilise AI that is built into your existing HR technology software - a straightforward and significantly lower risk approach than using free sources.

The second major barrier is the skills gap. 60% of HR professionals feel they lack the knowledge to use AI effectively. This reflects a need for targeted upskilling, equipping HR professionals with the skills to critically evaluate AI tools, interpret outputs, and ensure they are used responsibly. AI training should encompass skills such as data literacy, critical thinking, ethics, agility and human collaboration.

Finally, the third barrier is ethical, or data protection concerns with 55% of organisations citing that as a barrier to implementation. One way to address this is through clear AI policies. Without them, unregulated AI usage increases the risk of inconsistent use and poor decision-making, which can heighten the likelihood of ethical issues. Without clear principles for employees to follow, AI’s application in sensitive areas like recruitment or performance management could unintentionally reinforce bias.

What’s the way forward?

When looking for a way forward, a good place to start is with leadership. HR leaders must champion AI and its benefits. This means investing in training for themselves and their employees, ensuring responsible use policies, and aligning AI initiatives with broader organisational goals.

Formal adoption doesn’t have to be complex, but in doing so HR can move from a reactive support function to proactive business partner, boosting efficiency, enabling smarter decisions, and ultimately building a more resilient workforce.