Building Trust in AI-Driven HR Systems: Employee Perceptions for AI-HR

AI integration with HR systems opens up the potential for raising decision quality and operational efficiency. However, firms must cultivate employee trust to integrate AI into HR procedures. The main goals of this study are to identify the crucial aspects impacting employee trust in AI-enabled HR tools and to explore commercial applications of AI for crucial HR tasks. The goal is to increase employee trust in AI-driven HR systems. The study uses a mixed-method approach, including surveys and interviews, to conceptualize and highlight feedback mechanisms, communication tactics, and employee involvement in fostering trust. This study systematically examines the factors influencing employee trust in AI-driven HR systems, establishing a robust positive correlation between trust and the effectiveness of training interventions (r = 0.683). The findings demonstrate that employees who are younger and more highly educated generally exhibit higher levels of trust in AI technologies. Additionally, concerns regarding algorithmic bias are notably more pronounced among female respondents. These results highlight the critical need for organizations to implement targeted, comprehensive training programs to address the ethical dimensions of AI and mitigate biases inherent in these systems. By prioritizing such initiatives, organizations can foster a culture of transparency and trust, thereby driving enhanced employee engagement, facilitating greater acceptance of AI technologies, and ultimately optimizing organizational performance.