AI impact on TA is greater than ever

Published in October 2025, Fosway Group’s Talent Acquisition Realities research analyses all the critical trends and opportunities for TA teams in the next 12 months. Here, Fosway analysts highlight the disruption in talent acquisition driven by AI and suggest that there is more to come.

AI is here and now in modern recruitment practices.

Over the past three years, talent acquisition has been at the forefront of innovation within HR, and that trend has grown in 2025. Today over 90% of recruiting teams are seeing some impact of AI in their function – the highest proportion in any of Fosway’s research segments.

Most significant is the jump in those reporting a moderate (rather than little) impact on their recruiting activities – up 12% on last year and the most noticeable illustration of AI’s growing influence on talent acquisition. That only 8% have reported no impact from AI on their recruiting team – down from 24% in 2024 – shows the pace of change. More change will inevitably come in 2026.

Expectations of AI’s impact on talent acquisition continue to outpace reality

Over the past three years there has always been an inflated expectation of how soon and how significant the impact of AI on recruitment will be. Based on our research, the pace of change is still lagging behind recruiters’ predictions for how much and how quickly AI will transform their approach.

Last year’s predictions that 27% of TA teams would have a great deal of impact from AI, compares with the reality that only 10% now report a great deal of impact. It is likely we will see adoption and impact accelerate in 2026, but it still seems that recruiters are being over-optimistic about their ability to fully embrace AI innovations at the speed they want.

Today only one in four TA professionals thinks the potential of AI in recruiting is overhyped

Perceptions about the potential of AI in recruiting shifted dramatically over the past year, as those that think AI for talent acquisition is overhyped now form the smallest group. That is illustrated by a fall of 10% since our 2024 research. That’s not to say some scepticism still lingers. But critically those recruiters that think AI in talent acquisition isn’t overhyped now represent nearly half of our respondents. Expectations of AI in talent acquisition continues to grow.

This is an excerpt from Talent Acquisition Realities 2025. Get the full insight and discover all the latest market and solution trends by reading the whole report here.

What should you do next?

• It’s time to get involved in Fosway’s AI project Phase Two – includes access to a range of private assets as a project participant, with a level of detailed analysis and insight you will not find anywhere else. Contact us for more, join Fosway’s strategic AI project for 2026: ‘AI in TA’.

Other recommended reading

• Get the full AI in TA research infographic here: TA Realities part 5.
• The 2025 Fosway 9-Grid^TM for Talent Acquisition – full report. Released earlier this year. All the latest market and solution trends in talent acquisition – get the full analysis today.

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