Artificial intelligence 'secret weapon' for landing job

Almost two in three Australian jobseekers turn to artificial intelligence to create their resumes, a study has found, and people in charge of hiring do the same.

Australian tech giant Canva revealed the rising AI use in its New Year, New Job report, which also showed most hiring managers would like to see AI use disclosed on job applications.

The findings were released on Thursday as the federal government considers mandatory AI guardrails, including restrictions on its use in employment and human resource fields like those imposed in Europe.

The Canva study surveyed 6000 jobseekers and 4200 hiring managers around the world from countries including the US, UK and France, and 900 people in Australia.

The research found 65 per cent of Australian job applicants had used AI to create their resumes, significantly more than the global rate of 57 per cent.

Almost half local jobseekers used AI to write a cover letter, it found, more than one in three used the technology to research potential employers, and nearly one in three used it to brainstorm interview questions.

Almost all jobseekers who used AI (96 per cent) said they received an interview call back, and Canva talent acquisition lead Lorraine Dooley said the figure underlined the technology's effectiveness.

"Embracing visual mediums and tools like AI presents a new opportunity, allowing people to showcase their skills in non-traditional ways," she said.

"These tools are increasingly becoming secret weapons that help to elevate your job search, receive more interview call backs, and make your application stand out."

But the candidates' success may have been influenced by the high use of AI on the other side of the equation, as 92 per cent of Australian hiring managers said they had used the technology during some part of the recruitment process.

Popular uses of generative AI include summarising applicant resumes, writing prompts for candidate assignments and using the tools to prepare job ads.

Despite their own high use of the technology, 76 per cent of recruiters thought candidates should disclose any use of generative AI software in their applications.

The survey also found one in four Australian jobseekers used video content to apply for a job, and most hiring managers checked out the social media accounts of potential hires.

The use of AI in employment decisions has been identified as a high-risk use case in other countries, including in recruitment, hiring, promotion, training and termination decisions.

Its use was noted in the federal government's consultation paper into mandatory AI guardrails in 2024, which said companies may have to consider "any potentially discriminatory impacts on people" from particular groups.

Restrictions on AI use in Australia are expected later in 2025, and the government could introduce legislation following the European Union's example.