What will be the impact of AI on staffing and recruitment in 2023

What will be the impact of AI on staffing and recruitment in 2023


Across all industries, automation usage is booming. The COVID-19 epidemic has accelerated the move to digital, which is changing key business operations through the growing use of automation and AI. With fewer individuals available for jobs and more open positions, the hiring environment is more competitive than ever. The emergence of recruitment automation has had a significant influence on the industry.

In order to find top talent as fast as possible, time-constrained recruiters and HR teams are turning to automation, which is expected to continue beyond 2022. Automation is the top trend influencing how hiring managers and talent professionals make decisions, according to a LinkedIn poll on talent trends.

Applicant tracking systems and recruitment CRMs are growing more and more popular because they enable recruiting teams to locate the best candidates much more quickly, fill positions more quickly, and enhance corporate brand perception. Recruiters are increasingly seeking methods to cut down on manual labor so they have more time for important activities like cultivating relationships.

Which hiring procedures are becoming automated?

The enormous amount of applicant data and administrative procedures that need to be handled by recruiters and hiring managers sometimes overwhelm them. Today, the phases of the hiring process that are no longer useful to perform manually can be replaced by digital tools, software, and automated technologies.

Automation is used to efficiently handle tasks including creating and keeping candidate files, contacting candidates, setting up interviews, creating and posting job advertisements, and assessing resumes.

Automation enables recruiters to collect applicant data, manage and expand talent pools, follow candidates, and assess the whole hiring procedure. The availability of data reporting and analytics tracking allows data-influenced decisions to be made more quickly and with higher hiring quality.

Automation benefits everyone, not just recruiters. Additionally, automation greatly shortens the recruiting process for candidates, which enhances their hiring experience.

In what ways will automation impact recruitment in 2023?

Automation use will only increase as a result of ongoing technological advancements and the recruiting industry’s growing understanding of its many advantages. In the recruiting industry, automation will have the following four significant effects by 2023:

Evaluation of Candidates

Particularly for highly skilled or senior-level roles, evaluating individuals only on the basis of their applications and resumes may not be adequate. Throughout the year, automated skill assessment systems will become more common, which will improve the evaluation procedure.

Using automated skill testing, recruiters may assess and comprehend potential candidates more thoroughly and witness the prospects’ talents in action. In contrast to merely reviewing a resume individually, it helps recruiters save time and money while also delivering more accurate and objective findings.

The best thing is that there is no manual labor for recruiters to do; instead, the evaluation tool automatically provides results, and you may design pre-made questionnaires in accordance with your needs.

Arranging interviews automatically

In 2023, recruiters will be searching for methods to increase efficiency due to an increase in job openings and a drop in talent pools, and automated interview scheduling will be a key concern. In order to allow applicants to arrange interviews at their desired time and promptly update the recruiter’s and candidate’s calendars,

recruiters can supply them with open time slots by automating the interview scheduling process. This means there won’t be any more time-wasting phone calls or emails back and forth attempting to find a time that works for everyone.

Additionally, recruiters may automate confirmations and follow-up messages to maintain constant contact with the prospect with the least amount of work, keeping both the candidate and recruiter satisfied. By automating these stages, recruiting may be completed more quickly while retaining top talent and producing employees of higher caliber.

To stay competitive, recruiters will increasingly turn to automated scheduling to eliminate administrative procedures that provide little value.

Automated Sourcing

One of the most time-consuming jobs for any recruiter is finding and sourcing outstanding talent. It’s important to get this stage right since bad hiring costs time and money. The US Department of Labor estimates that the average cost of a bad hire is around 30% of the employee’s first-year wages.

Automated sourcing has already revolutionized the recruiting industry and is predicted to continue doing so in 2023. There are various ways to find candidates using automated sourcing technologies; they include social networking tools, applicant rediscovery software, sourcing chatbots, and even AI-powered candidate screenings.

Forbes estimates that finding applicants for a single post takes recruiters about a third of their workweek (or around 13 hours). Fortunately, automation offers effective solutions to update and expedite the recruiting process.

Elimination of unconscious bias

Regardless of industry, diversity, and inclusion have continually been hot topics for recruiting companies in recent years. Unconscious prejudice can influence how we evaluate candidates and conduct interviews, regardless of their gender, age, race, religion, or sexual orientation. As a result, the workforce experiences a decline in innovation and originality.

Many companies have tried to develop a recruiting procedure that is impartial and fair, and they are realizing that automation may hold the key to facilitating an inclusive and impartial hiring procedure in 2023. 61% of talent acquisition professionals think recruitment automation may lessen unconscious bias, according to a recent HubSpot survey.


The hiring and staffing sector is always changing. In 2023, automation will continue to change the recruiting industry, and it will soon rule the administrative, time-consuming tasks that, when done manually, add little value to either the recruiter or the candidate.

It is obvious that adopting automation is essential for recruiters to stay relevant to the modern candidate. Having modern technology at a company is a key consideration when choosing a workplace. Automation must be given top priority by recruiters if they want to draw in the finest candidates in today’s market and shorten the hiring process, giving them more time to cultivate connections with candidates.

Pragna has been a very vocal advocate of utilizing AI for years now and helping its customers to engage and grow. In the latest newsletter, read through the prediction for 2023 here.

Firms will anticipate that their employment and recruitment partners will follow suit as they continue to automate their processes to make them more efficient. Using candidate monitoring and CRM systems, recruiters may work as efficiently as possible for both themselves and their clients.

5 Common Recruitment Outsourcing Myths

5 Common Recruitment Outsourcing Myths

RPO Myths and false information never rest, there’s really no shortage of myths in the world, even in outsourcing they exist. It’s either the facts and stories are intentionally skewed to prevent the business-minded from outsourcing, or they’re just the result of false information passed through word of mouth.

To help you sort out the myths from the reality, we’ve put together a few outsourcing myths, so you can make smart decisions.

RPO Myth #1: No strategic plan

Outsourcing teams might be enlisted at the beginning of a project or midway through the project. Whether they are there from the start or brought in to help fix an ongoing problem, they are part of the project’s strategy.

Both the organization and the outsourcing team will have a strategy and need to align these strategies at the beginning of the partnership to ensure that they work together to flow and optimize their offerings.

RPO Myth #2: Company communication breakdown

If an organization is outsourcing a team of experts for the first time, they might believe that the communication within the company or project will be disrupted or that job roles will become diluted. This doesn’t have to be the case.

By discussing and deciding the chain of project owners and team members before the project begins, there won’t be a loss of communication, as each team member will understand their individual and team role. A good outsourcing company will set up an optimal communication model for working for everyone, which ensures adequate face time and collaboration through all aspects of the project.

RPO Myth #3: Company culture is disrupted

Similar to the communications concern, some organization might be concerned that their company culture will be interrupted if an outsourcing team is brought in. Company culture is important in any organization, so it’s crucial that it doesn’t change if new individuals or teams are introduced to the company or project or organization.

Although disrupted company culture is a concern for some organization, outsourcing teams can adapt and even add to the company culture. If diluting the team dynamics is an issue, the organization should choose to near shore instead of outsource.


RPO Myth #4: There will be a conflict of interests 

A concern for some organization is that the company which is running the project will have an interest level with the outsourcing team. However, outsourcing teams aren’t there to take over. The role of an outsourced or near shored team is to offer and share their knowledge and expertise with the company, rather than make decisions and create conflict with the client. The decision-making and reporting process should be clearly outlined at the beginning of any joint collaboration.


RPO Myth #5: Only big businesses need outsourcing

Surely only big organizations have the requirement and budget for outsourcing…right? That’s incorrect. Both big and small companies can reap the benefits of outsourcing and near shoring. For example, small businesses can benefit from improved efficiency and flexibility in their organization. Outsourcing can have a direct impact on businesses in various sizes…it is not solely for larger organizations.

RPO Myth #6: Ensures company growth

A company’s growth depends on its people. If the right people are not hired or, positions remain vacant for a long time and work suffers because of it. The company’s growth is bound to be affected. Outsourcing staffing can help you fill gaps, make sure you have the right quality and quantity of people, work runs smoothly, and the company grows consistently.


Outsourcing has become a major player in the growth and development of most companies worldwide, but myths and misconceptions plagued the image of outsourcing. Outsourcing has its strengths and weaknesses. However, companies who want to outsource should use Pragna outsourcing services to their advantage.

One thing that companies should remember is that outsourcing is a choice. It is not inevitable. Companies should make a cost-benefit analysis before engaging in outsourcing or hiring a third-party advisory. However, in these changing times, one challenge remains. Outsourcing companies should innovate to offer better services for their clients. Pragna provides customized RPO services, it helps other companies to bring down the Cost-Per-Hire.

Overview of the Staffing Industry 2022 and the future and prediction of the staffing industry in 2023

Overview of the Staffing Industry 2022 and the future and prediction of the staffing industry in 2023

Overview of Staffing Industry 2022:- 



In the last edition, We spoke about the Supply and demand of talent. As we are ending the year, Here is the overview of the year 2022. Global talent shortages are at a 15-year-high, and more than one in three US employers report difficulty filling jobs.

 The US has been facing an extreme talent shortage crisis – a crisis that has made it difficult for staffing coordinators to source quality talent for clients. A crisis that might not be leaving soon. A crisis that will require staffing agencies to revamp their recruitment approach. 

Utilizing these touchpoints just for the sake of filling the positions won’t be enough. Staffing industry managers will need to provide an uninterrupted staffing industry experience by optimizing the recruitment process for the channel that suits the talent perfectly.


Recessions lead to Layoffs


In Late 2022 Widespread hiring froze, this was the primary sign that something went wrong. Cost reductions become a top priority for businesses when sales start to decline because they continuously monitor output. 

Global digital companies including Twitter, Meta, Salesforce, byjus, and Snapchat are all cutting positions due to various challenges. 


Over-hiring during the Pandemic


Companies across the world, including in the US, have gone on a hiring spree thinking the demand would last forever, and then end up taking the hard decision of layoff. Staffing industry redundancy, though taken up as a contingent plan, may eventually become the reason why cash outflow may go higher than the inflow based on the market conditions.


Unstable economy


The new normal that everybody was speculating about is now upon us, but with another unexpected crisis of the Ukraine-Russia war. All these reasons have led to inflation and lesser investment budgets. America’s inflation rate—now at a 40-year-high—will remain high well into early 2023. Since labor comprises as much as 70% of total US business costs, sustained consumer price inflation typically requires sustained wage inflation. 


Prediction 2023


 What a year 2022 has been so far. From the Great Resignation to resources ghosting, the dominant themes were record job opportunities, acute talent shortages, and candidates having the upper hand. But as the year draws to a close, the great hiring boom appears to be over, as fears of a recession in the last quarter. So, what’s in store for 2023? Let’s look at the new predictions & what lies beyond in  Staffing industry.

Great Rebalance


Great rebalancing. Global economic dominance will shift away from the US and towards developing nations, and the digital economy will continue to grow. According to Morel, these three fundamental factors will result in a “Great Rebalance” that will redefine the world’s economic landscape. He also emphasizes the necessity for governments and companies to have long-term plans and the possibility of heightened volatility.

Hybrid under threat and Re-Open Communication

It is also likely that workers who have gotten used to making demands of employers and having those demands met will lose their bargaining power. The market has changed, and employees won’t want to risk rocking the boat. Whatever happens with hybrids, the office will continue to play an important role – if only we let it. Once revered as the place for people to collaborate and communicate openly before the pandemic ever happened. 

More AI Technology

Although marketers will always exist… I hope… In the field of hiring, AI will keep gaining momentum. The iconic “ATS bot” legend and folklore might unexpectedly come to pass. However, there are a number of areas in which such solutions cannot provide the same outcomes as a human recruiter, for easier and larger volume purchase requisition, AI will undoubtedly be a more significant participant in the hiring sector. These tools won’t completely replace recruiter, but they will be the more prevalent tool.

Fewer Layoffs

Could it be true? Call it the hope, but I’m keeping my fingers crossed that the pattern of large layoffs will start to wane by the second quarter of 2023. It’s really no surprise that The IT businesses had significant hypergrowth during the epidemic before even being completely wiped out in 2022. Even if some firms have reduced their workforces, this trend is projected to continue through the first half of 2023 before slowing by the summer of that year. Would the trend toward rapid growth eventually reverse? Probably not. But will employment increase? … Only time can tell.

Mistakes need to avoid by recruiter while hiring in 2023

Mistakes need to avoid by recruiter while hiring in 2023

To be a recruiter is a difficult job. You must assiduously seek out individuals, recruit them, review their applications, set up interviews, and then attempt to select the best one for a particular job opening. No matter how well you prepare for the hiring process, it is the little things that frequently go wrong and cause recruiters to lose good candidates.

For recruiters, the entire hiring is a wild trip that presents them with difficulties on a regular basis. Recruiters will have more difficulty hiring people if they take a holistic strategy to solve the difficulties that have been identified as being common.

It estimates that roughly one in four actions made by a company throughout the recruitment process will significantly reduce its ability to hire top talent.

5 Major Mistakes made by a recruiter while hiring


1. Not doing internal hiring

The candidates could occasionally be your company!!

Internal hiring can be more cost-effective because it eliminates the need to spend money and time advertising for outside applicants. Additionally, a current employee will be acquainted with the procedures, principles, and mission of your company. They probably would acclimate to a new role faster than an outsider would.

Your own employees’ morale and productivity can be raised by promoting and developing them. Additionally, you’ll probably have access to information and expertise from other areas of the company that could improve communication and teamwork.

Additionally, retaining key knowledge that might otherwise be lost when people leave your team or business can be accomplished by hiring internally. Succession Planning, one of our articles, has

2. Rushing the Hire

Give it some time. Consider the time and money it would take to hire and train someone only to discover they weren’t qualified for the position. It might be necessary to redo the entire procedure.

If required, conduct two interviews. When you still can’t find the best candidate, make arrangements for a contractor from outside the company to fill the position.

3. Incorrect job description

Describing the job incorrectly leads to less probability that you’ll find applicants who have the skills and traits you need.

A strong job description goes beyond a straightforward list of responsibilities; it should also outline the role’s overarching goal, highlight major areas of accountability, and define the particular competencies required for success. Writing a Job Description, one of our articles, explains how to do this.

To avoid misleading candidates into thinking the position offers more potential than it actually does, be careful not to “try to sell” the position. For instance, if there isn’t a chance of a speedy promotion, don’t imply that there is. When you do, your eager new hire might feel disappointed and depart.

4. Not Screening Candidates

Another mistake made by recruiters is not screening candidates properly. This can lead to hiring someone who is not a good fit for the position or company, and can also lead to major legal issues down the road.

5. Not Following Up

Finally, a major mistake made by recruiters is not following up with candidates after an interview. This not only gives a bad impression of the company, but it can also cost you the chance to hire a great candidate who may have taken another job in the meantime.


Many firms make the same biggest hiring mistakes, and it can impact their ability to find and hire the talent for the job. It can also diminish their reputation in the marketplace. However, businesses may increase their chances of finding the best talent by adopting the right precautions.

Professional eye-catching and interesting job postings
Job marketing using AI
Prepare well before the interview
Ask out-of-the-box questions
Reduce the risk of unconscious bias
Treat candidates courteously
Recruit both internally and externally
Adjust for remote hiring

Recruiting 2023:Will Layoffs Impact the Recruiting Sector?

Recruiting 2023:Will Layoffs Impact the Recruiting Sector?


Global digital companies including Twitter, Meta, Salesforce, Byjus, and Snapchat are all cutting positions due to various challenges. Jobs that deal with talent procurement have been particularly impacted. On Wednesday, Meta sent out newsletters terminating the majority of its hiring staff. One of the individuals who was just let go was a recruiter about to become a mother.

Mark Zuckerberg, the CEO of Meta, revealed 11,000 job losses in a memo to the firm, adding: “Recruiting Sector Layoffs will be adversely impacted since we’re expecting to hire individuals next year.” According to sources, similar schemes have been implemented or will be implemented at other businesses.


Reasons for Employee Layoff

Staff layoffs are frequently implemented to improve organizational processes and cheaper labor. The phrase “laying off workers,” which has a connotation akin to “retrenchments,” is frequently used to refer to the elimination of employees so that expenses can be adjusted. There are other typical grounds, though, for either a suspension or a final termination of an employee’s employment. Raw-materials shortages, power outages, stockpiling, machine breakdowns, continual construction projects, a lack of resources, financial crises, downsizing, excessive operating costs, excess running costs, acquisitions, mergers job redesigns, and streamlining organizational processes are a few of these.


Will layoff continue till 2023?


Let us know what the Amazon CEO says about that, According to Amazon CEO Andy Jassy, “layoffs will continue at the firm till 2023. The business revealed earlier this week that they are laying off workers from either the Devices and Book businesses, which marked the start of the layoff process. Jassy has now stated that additional layoffs will take place when Amazon’s annual planning process continues into the following year.” the same goes with every big company. By this hint, we figure out what will be the future of 2023.

Effects of Employee Layoff


Both suspended or terminated workers and those who survive cutbacks or worker reductions may suffer grave consequences. Workers who have been fired off may display astonishment, rage, suspicion, doubt, despair, and escape. If staff layoffs are not handled carefully and correctly, there may be demonstrations and conflicts. Additionally, if managed improperly, it could make the current circumstances worse.

However, many who keep their jobs and make it through layoffs are not in any better a situation. They stop having faith in their company and begin seeking new jobs. The entire process could have a negative psychological impact on them. If the company cannot sustain its reputation, it will go as soon as they have the opportunity.

Will staffing agencies get affected by Recruiting Sector Layoffs?

Staffing agencies may suffer as a result of layoffs; for the time being, some businesses are beginning to feel the heat of layoffs; the recession and COVID may be the major reason for the layoffs as online activity peaked during the lockdown; as a result, most social media companies recruited in large numbers; however, once the lockdown was pulled and life restarted to normal, people began to minimize their use of social media; this could be the primary reason for the layoffs.

The top 6 recruitment trends for 2023

The top 6 recruitment trends for 2023


The hiring procedure is continually developing and adjusting to the workforce’s dynamic environment. In order to stay ahead of the curve, it’s important to be aware of the latest trends and developments in the recruitment industry. 

Here are some of the recruitment trends to look out for in the year 2023. 

Increased use of AI and automation 

As technology advances, so too does the recruitment process. Artificial intelligence (AI) and automation are increasingly being used to streamline the recruitment process. From candidate sourcing and screening to job matching and offers, AI and automation can save recruiters a lot of time and effort.  

There is little doubt that synthetic intelligence is playing an increasingly important role across the board in all kinds of different domains. Despite this, there are concerns about how effective or pertinent it is in other areas, like recruiting. The conclusion is that deploying AI for recruitment lacks the certain “humanness” needed to interact with potential employees. 

For this to be accomplished, the algorithms would need to be much more delicate than they are at this time. The HR department, which is in charge of all the technical aspects of the hiring process, is nonetheless making great use of AI, so keep an eye out for that.


Greater focus on diversity and inclusion

There is a growing recognition of the importance of diversity and inclusion in the workplace. As such, recruitment strategies are increasingly focused on attracting a diverse range of candidates. This includes candidates from underrepresented groups, such as women, minorities, and people with disabilities. 


Shift to remote work

The COVID-19 pandemic has accelerated the trend toward remote work. Many companies have realized that employees can be just as productive working from home as they are in an office. This has led to a shift in recruitment strategies, with more companies now advertising remote job openings. 

According to research, 85% of recruiters think that remote work is here to stay. The epidemic undoubtedly significantly altered the workplace. Numerous businesses have employed remote employment options as a recruitment tactic.

When remote work flexibility is not an option, prospective candidates—particularly those in the technology sector—stop participating in the interview process for some positions, according to HR specialists. Commuting is becoming increasingly expensive nowadays due to the cost of fuel and inflation. Remote employment helps retain existing talent as well as recruitment efforts.


Increase in contract and freelance work

There is a growing gig economy, with more people opting for contract and freelance work. This trend is likely to continue in the years to come, as more people value the flexibility and autonomy that come with this type of work. As such, recruiters need to be prepared to source and screen candidates for these types of positions. 

Independent contractor markets are expanding all the time. The field as a whole becomes more appealing to new people as more people become engaged, and more resources are spent on figuring out how to make the region as successful and effective as possible.

Technology is a critical facilitator, making interactions between businesses and remote employees straightforward and practical. A company is no longer required to contact or be physically present in the same nation as, one of its full-time employees. Without a doubt, this amazing improvement will stop within the upcoming year. 


Greater use of social media and increased use of data 

Social media is playing an increasingly important role in the recruitment process. Candidates are using social media to research companies and find job openings. Recruiters are also using social media to reach out to candidates and promote open positions.

Recruitment processes are becoming increasingly data-driven. Recruiters are using data to identify trends and patterns, such as the skills and experience that are in high demand. This information can then be used to tailor recruitment strategies and improve the chances of attracting the best candidates. 


Greater emphasis on Employer branding 

Employer branding is gaining importance as the competition for top talent heats up. Candidates want to work for a firm that shares their values and where they can envision themselves creating a long-term career, not simply a job.

Employer branding is seen as an advantage rather than a cost by best-in-class talent firms. Employer branding aids in the recruitment, hiring, and retention of talent at a time when human resource professionals are stretched to the limit due to high turnover and record-high recruiting requirements. From attracting a bigger pool of qualified candidates and raising offer acceptance rates to create better working conditions for employees.  


There will be a lot of changes in recruitment over the course of the upcoming year, and a lot for you to pay attention to as you attempt to put together your staff. To genuinely advance as a business, it is crucial that the employees at your firm be precisely who you want them to be.