Organizational Dynamics and Bias in Artificial Intelligence (AI) Recruitment Algorithms

Abstract

The integration of artificial intelligence (AI) into recruitment processes has promised to revolutionize and optimize the hiring landscape. However, recent legal proceedings have shed light on the alarming implications of AI algorithms in the employment sector. This chapter delves into a significant case study where African American, Latina American, Arab American, and other marginalized job applicants and employees filed a 100-million-dollar class action lawsuit against a prominent organization, Context Systems. The suit alleges that AI screening tools, entrusted with the crucial task of selecting candidates, have been marred by programming bias, leading to discriminatory outcomes. This case study critically examines the multifaceted problems arising from bias in AI algorithms, revealing their detrimental effects on marginalized communities in the employment sector. By scrutinizing this pivotal case, the authors aim to provide insights into the urgent need for transparency, accountability, and ethical considerations in the development and deployment of AI-driven recruitment tools.