Company Logo
5 min read

The generative AI resume wave

True Assess Team
Hands holding resume documents with laptop

3 in 4 candidates who used AI tools to boost their job applications and resumes got in for an interview.

This high number brings into focus a tricky issue. On the one hand, AI can help candidates present their skills and experiences in a polished, professional way, making their applications stand out. But on the flip side, this technology also blurs the line between genuine skill and a polished facade. Even if generative AI can make a resume look impressive, it doesn't always mean the candidate's actual abilities match up. The challenge for recruiters is figuring out whether these enhanced applications truly reflect the candidate's skills or just create an appealing but misleading impression.

It has always been quite difficult for recruiters to maneuver through the multiple stages required to evaluate applicants properly. Now, it is becoming more difficult than ever before due to the spread of techniques that make job applicants seem more competent than they really are.

Candidates might misuse AI tools to build convincing but entirely fictitious job experiences or to create resumes that seem remarkably polished, showcasing achievements and skills that aren't real. They might even generate fake references to give the impression of strong professional connections. Naturally, the infusion of generative AI can make it highly challenging for recruiters to distinguish between genuine and fabricated information, leading to potential hiring errors and potential re-hires. Such deceit undermines trust in recruitment and complicates the search for qualified candidates.

The 4 types of candidates who use generative AI

Here are the four archetypes of AI-enhanced job seekers, each with their own unique spin on leveraging technology to land that dream role:

1. The Resume Illusionist

This candidate wields Generative AI like a magic wand, crafting an impressive resume filled with convincing but entirely fictional job roles and accomplishments. Their resume tells a compelling story of a highly successful career, making it challenging for recruiters to spot the fabricated details. During interviews, their resume sets a high bar. Still, the real challenge emerges when their on-the-job performance doesn't match the high level they presented, leading to potential frustration and confusion for hiring managers.

2. The Portfolio Deceiver

With the help of AI, this candidate constructs a flawless portfolio brimming with stunning yet fictitious projects and case studies. Often, their portfolio looks polished and innovative, often receiving only a brief review during interviews. This leaves recruiters to assume everything is genuine, making it difficult to differentiate between authentic work and AI-created content, thus complicating the assessment of the candidate's actual skills and experience.

3. The Talent Inflator

This candidate knows their skills are average but uses AI to amplify their achievements and capabilities. When they exaggerate specific details on their resume and portfolio, they create an illusion of extraordinary talent. Rather than attempting to enter a completely unrelated field, they enhance their current expertise to seem much more qualified than they really are. This clever manipulation makes it difficult for recruiters to see past the AI-enhanced facade and accurately assess the candidate's true abilities.

4. The Cunning Exaggerator

Rather than attempting to bluff their way into a completely different role, this candidate uses AI to inflate their current qualifications subtly. By enhancing their achievements and adding unverifiable details, they present a polished image that may not reflect their true skills. The challenge for recruiters lies in separating genuine talent from cleverly manipulated credentials, leading to potential mismatches between job expectations and actual performance.

Impact of AI on job applications

The introduction of AI into the employment process brings far-reaching and intricate consequences for business culture, productivity, and succession planning, among other areas.

Flood of Applications

Instead of carefully tailoring a handful of applications, candidates now use AI to send out hundreds with just a few clicks. Generative AI automates the creation of cover letters and resumes, making it easier than ever to apply for numerous jobs quickly.

Although this boosts the sheer number of applications, it can also lead to a flood of submissions. Candidates might not invest the same level of effort or thought into each application, making it harder for recruiters to spot genuinely interested and qualified candidates. Instead of a few well-crafted applications, recruiters face a high volume of resumes most of which look equally enticing given that they have been generated specifically for that role using generative AI, complicating their jobs and potentially making it more difficult to find the right match.

Disturbed Progression and Equity

It complicates how companies level new hires, manage performance, and handle promotions. If someone gets hired at a higher level because they presented themselves well with the help of generative AI, it can create frustration among other employees in similar roles or higher positions who didn't rely on AI to boost their profiles.

As a domino effect, it can also make ensuring fair pay and career progression harder, leading to broader discontent and challenges in managing terminations and performance reviews.

Detrimental Impact on Performance

If the new hire's skills do not align with the job requirements, the company may need to invest additional time and resources in training and supervision. This extra support can detract from other priorities and projects, potentially impacting the broader team's productivity. What started as a promising interview might turn into a prolonged challenge as the new employee struggles to meet the role's demands.

Assigning tasks to a candidate whose abilities have been overstated might result in delays and lower-quality results. This can affect project timelines, client satisfaction, and the company's reputation, creating a ripple effect that diminishes organizational productivity and success.

Misalignment with Organizational Culture

Hiring candidates who present inflated profiles can create significant misalignment with a company's culture and values. When a new hire's actual skills and work ethic fall short of what was promised, it can cause friction within the team. And this mismatch doesn't just affect individual performance—it can create cultural friction within the entire team.

Employees who don't mesh well with the organizational culture might struggle to collaborate effectively, leading to tension and disruptions in team dynamics. Their inability to adapt or align with the company's values can result in decreased morale, reduced productivity, and a breakdown in workplace harmony. Over time, this can undermine the company's culture, creating a less cohesive and less productive work environment.

Difficulty in Succession Planning

Inflated profiles can also create serious hurdles for effective succession planning. Companies hiring individuals based on exaggerated qualifications risk bringing in employees whose performance doesn't meet expectations. This discrepancy can derail efforts to identify and nurture future leaders from within the organization. If current hires are not performing as anticipated, assessing their potential for advancement and leadership roles becomes challenging.

Eventually, this induced uncertainty can disrupt long-term strategic planning, leaving the company ill-prepared for future leadership needs. The inability to reliably develop talent from within can hinder the company's ability to fill critical roles and achieve its strategic objectives, impacting overall organizational stability and growth.

Bottom line - The AI hiring paradox and what to do

Are these candidates as qualified as they appear, or are they simply good at presenting a polished illusion supported by generative AI?

As AI evolves, the hiring process must adapt to differentiate between real talent and technological trickery. The stakes couldn't be higher—misjudging a candidate's real abilities can disrupt team dynamics, complicate performance management, derail long-term strategic planning and cost you thousands of dollars in lost revenue.

The interactive calculator below shows the potential loss in revenue occurring from a bad hire that is not up to par.

True Cost of a Bad Hire - Interactive Calculator

A bad hire with an annual salary of $72,000 will amount to a sunk cost of $0 if realized and terminated within 3 months.

Step-by-Step Calculation with Detailed Breakdown

1. Recruitment and Onboarding Costs
  • • Total Cost of Recruitment and Onboarding for one hiring cycle: $4,700
  • • This includes:
  • • Hours spent by hiring team members reviewing resumes, conducting interviews, and related tasks.
  • • Cost of advertising and software tools used for the position.
  • • Onboarding and initial training costs for the new hire.
  • • We will factor for two hiring cycles since another hiring cycle will happen to replace the bad hire.
  • • Total Cost Incurred in Two Hiring Cycles: $0 (calculated as $4,700 * 2)
2. Cost of Lost Productivity
  • • Average Annual Revenue Per Employee in US: $170,000
  • • Average Monthly Revenue Per Employee: $14,167 (calculated as $170,000 / 12)
  • • Total Months of Lost Productivity: 6.5 months (calculated as 3 + 1.5 + 2)
  • • Months Employee was Retained: 3 months
  • • Additional Time for Re-hiring: 1.5 months
  • • Ramping Up Period for New Hire: 2 months
  • • Cost of Lost Productivity: $0 (calculated as $14,167 * 6.5)
3. Monthly Compensation of Bad Hire
  • • Annual Compensation: $72,000
  • • Monthly Compensation: $6,000 (calculated as $72,000 / 12)
  • • Number of Months: 3
  • • Total Compensation: $0 (calculated as $6,000 * 3)
Total Cost Calculation
  • • Total Cost of a Bad Hire: $0 (calculated as $0 + $0 + $0)

So how do you ensure that you are not leaving the recruitment process up to chance and hoping that the information you are basing your hiring decisions on are correct. You do that by ensuring that each of the steps is positioned to detect and eliminate such candidates.

"The ease with which candidates can now create compelling resumes with generative AI means that resume screening alone is no longer a reliable first filter in the hiring process."

Don't get fooled by AI-generated resumes

Our team can help you identify AI-generated content and strengthen your resume screening process to ensure you're hiring genuinely qualified candidates.