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Stock impact report

AI threatens the staffing industry as companies automate recruiting [Los Angeles Times (CA)]

ManpowerGroup (MAN) 
Last manpowergroup earnings: 4/21 07:30 am Check Earnings Report
US:NYSE Investor Relations: investor.manpowergroup.com
Advances in AI are allowing employers to screen resumes, rank applicants and conduct preliminary interviews without relying on external recruiters from firms such as Robert Half Inc., ManpowerGroup Inc. and Randstad NV. As the technology improves and becomes cheaper to deploy, companies are increasingly able to bring parts of the hiring process in-house. That's compounding existing challenges for the sector as the post-pandemic hiring boom has given way to a “low-fire, low-hire” environment, squeezing an industry that depends on hiring volumes and placement fees. Pressure on margins and revenue is set to increase as clients either cancel contracts or push for lower prices since competition for business will grow, said Bloomberg Intelligence senior analyst Stuart Gordon, adding that the way to manage costs will ultimately be by laying off recruiters. For those that remain, AI may also complicate their jobs. Tools that help candidates rewrite or embellish resumes risk making appl Show less Read more
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