A recent study published in the journal Oxford Economics Papers reveals that employers show a significant preference for job candidates with experience in artificial intelligence (AI). According to the study, college graduates who have AI-related qualifications or experience listed on their resumes are more likely to receive job interview invitations and higher salary offers.
Nick Drydakis, a professor of economics at Anglia Ruskin University in Cambridge and the author of the study, emphasizes the importance for firms to upgrade their workforces by enhancing AI skills levels in response to the dramatic shifts caused by AI in the UK workforce.
In an experiment conducted as part of the study, researchers submitted fake job applications to various vacancies, including CVs from 21-year-old British college graduates. Some applicants had studied an “AI in business” module, which was highlighted in their cover letters.
The results of the experiment showed that applicants with AI qualifications received interview invitations significantly more often than those without. For male applicants, those with AI qualifications were invited for interviews 54% of the time, compared to 28% for those without. Similarly, female applicants with AI qualifications received interview invitations in half of the cases, while those without received invitations 32% of the time.
The study also found that at large firms, applicants with AI qualifications were 36 percentage points more likely to be invited for an interview than at small-to-medium firms. Furthermore, men with AI qualifications received job offers with wages that were, on average, 12% higher, and women with AI qualifications received offers with wages that were 13% higher.
Drydakis suggests that larger firms may value AI qualifications more due to their tendency to undergo more AI-based structural technological transformations and their greater capacity for innovation.
Many companies are reported to have an unbalanced “buy versus build” approach to AI adoption, preferring to recruit new talent rather than upskill existing workers. However, experts suggest that a combination of recruiting and upskilling strategies is necessary to avoid skills gaps.
As companies increasingly seek AI-related talent, they are facing challenges in finding suitable candidates and are willing to pay premiums for in-demand roles. To address this, companies are exploring alternative methods of talent acquisition, such as reducing traditional educational requirements and hiring additional HR staff.
Leaders in AI-savvy companies are also making significant changes to their talent strategies, particularly around work processes and employee upskilling or reskilling, in response to the evolving AI landscape.