</Click to begin your digital interview>: Applicants' experiences with discrimination explain their reactions to algorithms in personnel selection

Abstract

Algorithms might prevent prejudices and increase objectivity in personnel selection decisions, but they have also been accused of being biased. We question whether algorithm-based decision-making or providing justifying information about the decision-maker (here: to prevent biases and prejudices and to make more objective decisions) helps organizations to attract a diverse workforce. In two experimental studies in which participants go through a digital interview, we find support for the overall negative effects of algorithms on fairness perceptions and organizational attractiveness. However, applicants with discrimination experiences tend to view algorithm-based decisions more positively than applicants without such experiences.We do not find evidence that providing justifying information affects applicantsregardless of whether they have experienced discrimination or not.

Diversity and technology—Challenges for the next decade in personnel selection

“…However, at the same time, there is also evidence that people seem to be concerned with unfair discrimination that is hard to control with algorithmic decisions (Mirowska & Mesnet, 2022). Combining those two issues, Koch‐Bayram et al (2023) recently showed that applicants who had experienced prior (human‐based) discrimination tend to view algorithmic decisions more positively than applicants without such experiences. Overall, there is still much to learn about what are the conditions for fostering the potential and for controlling the risks associated with algorithmic decision‐making, especially with respect to (perceived) fairness and diversity.…”

Gender equity in hiring: examining the effectiveness of a personality-based algorithm

“…Hiring algorithms could also benefit by increasing the perceived equity of the hiring process. For example, (1) women prefer to be judged by an algorithm because of its perceived objectivity over a human ( Pethig and Kroenung, 2023 ), (2) algorithms are perceived as less discriminatory than humans, which increases people’s comfort toward their usage ( Jago and Laurin, 2021 ), and (3) applicants with prior discrimination experiences deem algorithm-based decisions more positively than those without such experiences ( Koch-Bayram et al, 2023 ).…”