AI Is Changing Hiring in Canada, From Resume Screening to First Interviews

Artificial intelligence is no longer being used only by Canadian job seekers to polish resumes or draft cover letters. Employers and recruitment platforms are increasingly using AI on the other side of the hiring process to screen applications, rank candidates, assess responses and, in some cases, conduct an initial interview before an applicant speaks with a human recruiter.

Recent data from Indeed Hiring Lab highlight how widespread the technology has become. In Ontario, the share of job postings containing AI-related terms jumped from 9 per cent in October 2025 to 28 per cent in May 2026, following the introduction of new disclosure requirements covering the use of AI to screen, assess or select candidates.

The increase was also visible elsewhere in Canada. AI-related mentions in postings outside Ontario rose from 4 per cent to 12 per cent over the same period, compared with an average of roughly 7 per cent across a group of other advanced economies tracked by Indeed. Researchers say Ontario's sharp increase largely reflects the disclosure of AI use in recruitment that may previously have gone unmentioned.

Employers are using AI in several ways. Jason Murray, president and managing partner at Toronto-based BES Executive Search, told Global News that the technology can help recruiters rank, sort and summarize applications, allowing them to process large numbers of candidates more efficiently.

The technology is also moving beyond resume screening. Toronto-based Ribbon has developed an AI-powered platform in which candidates can interact with a conversational system during an initial interview rather than speaking to a human recruiter. Ottawa-based Knockri uses recorded interview questions and AI analysis to assess candidate responses and identify behaviours and skills associated with success in particular roles.

Knockri CEO and co-founder Jahanzaib Ansari said the system looks for behaviours and skills that correlate with predictors of success in a specific position. The company says its approach is designed to avoid penalizing candidates for characteristics unrelated to their ability to perform the job.

Since January 1, 2026, Ontario has required covered employers to disclose in publicly advertised job postings when AI is used to screen, assess or select applicants. Employers do not have to provide a detailed explanation of the technology or how the system works; a statement disclosing its use is sufficient.

The rules do not apply to every business. Ontario's regulation exempts employers with fewer than 25 employees on the day the job posting is published. The province's broader job-posting rules also include requirements related to pay transparency, disclosure of whether an actual vacancy exists and a ban on Canadian-experience requirements in covered public job postings and related application forms.

Indeed data show that the surge in AI references has not been confined to technology jobs. AI mentions increased across all 48 occupational groups tracked in Ontario between October 2025 and May 2026, with increases of at least 10 percentage points in 40 of them. Pharmacy, retail, personal care and home health were among the sectors recording particularly large increases.

The expansion of automated hiring has also raised questions about bias, transparency and the experience of job seekers, particularly when applicants worry that an automated system may reject them before a person reviews their application. Supporters argue that properly designed systems can reduce some forms of human bias by focusing on job-related competencies, while recruitment professionals caution that poorly used technology can produce the opposite result.

Job seekers are also increasingly using AI themselves to prepare resumes, customize cover letters and practise interviews. Some tools can even provide real-time assistance during virtual interviews, adding another dimension to the debate over where employers and applicants should draw the line in the use of AI throughout the hiring process.