Abstract
While there is agreement on the great potential for efficiencies and savings that the use of artificial intelligence (AI) can bring to recruitment, there is also an ongoing debate about the ethical and legal implications of hiring algorithms. The existing literature on the perception of hiring algorithms is ambiguous. Therefore, we investigate the question whether anticipated discrimination influences applicants’ preferences for a hiring algorithm. We conduct an online experiment based on the design of Dargnies et al. (2022) in which applicants are asked to decide whether a human manager or an AI should take their hiring decision. The novelty in our approach is the simulation of discrimination settings. We distinguish between taste-based and statistical discrimination. Using artificially formed groups, we can address a wide range of characteristics on which grounds candidates can be discriminated against. Our findings therefore extend to a broad group of applicants. The results of our study contribute to a better understanding of the potential of AI-assisted hiring processes, which can help to attract more diverse groups of applicants.