GDPR, AI and recruiting: 6 steps for effective, compliant hiring

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3 mins, 9 secs read time

AI is shaking up hiring like never before, but with great innovation comes great responsibility. Balancing AI and recruiting with GDPR compliance is key – and it’s not just about dodging fines – it’s about building valuable trust with candidates and keeping hiring fair. Curious how to recruit better with AI while staying on the right side of the law? This blog breaks down six steps that’ll help you get it right.


Step 1 – Get the green light on AI use (a.k.a. candidate consent)

AI in recruiting is like a super-efficient assistant – it processes loads of personal data, from resumes to test scores, faster than you can say “next candidate.” But before your AI gets to work, you need to get explicit consent from candidates. Spell out how their data will be used, stored and shared in a clear, no-jargon data privacy notice. Think of it as asking permission before borrowing someone’s car (only it’s their data, and it’s legally required).


Step 2 – Collect less, stress less

Unless absolutely necessary (say, for a diversity hiring initiative with explicit consent), don’t go on a data-collection spree. Skip sensitive details like religion, health info, ethnic origin or favorite pizza toppings (although that’s a great icebreaker question). Not only will this keep your AI and recruiting process squeaky clean under GDPR, but it will also prevent your AI from developing hidden biases. Less biased data = less risk.


Step 3 – Ensure your AI tools support candidate data rights

Candidates aren’t just sending you their resumes – they’re trusting you with their data. Under GDPR, candidates have every right to peek inside your data vault, correct errors or even hit the delete button. Be ready to handle these requests and double-check that your AI and recruiting tools play nice with GDPR rules, so no candidate gets left hanging.


Step 4 – Shine a light on algorithms (and add a human touch)

AI algorithms are great at sorting candidates, but let’s be honest – most people are suspicious of anything that sounds like a sci-fi villain. Ease their worries by explaining what your AI does, how it thinks (yes, logic matters) and how it impacts hiring decisions. You can also include this information on all job posts by adding a custom question.

Remember, GDPR doesn’t love robots calling all the shots. If AI is handling sensitive decisions, make sure humans are in the loop. Regular audits of your AI models and a few human reviewers can keep things fair – and keep the robots in check.


Step 5 – Lock down your data security doors

Your AI and recruiting tools should guard candidate data like Fort Knox. That means encryption, restricted access and regular updates to fix bugs before hackers find them. Treat it like locking your front door – you wouldn’t leave it wide open and hope for the best, right?


Step 6 – Partner with a GDPR-compliant hiring software

Not all hiring software is built equal – some might leave you exposed to GDPR headaches. Look for a hiring software with built-in GDPR features that take the stress out of compliance. It’s like picking a sidekick who won’t spill secrets – because in recruiting, data privacy is everything.

Note: This blog post is written for informational purposes and not intended as legal advice. To ensure your company and talent acquisition practices are fully GDPR compliant, be sure to consult with your lawyer or legal team.

Interested in learning more about how to stay compliant and avoid potential biases generated by combining AI and recruiting? Check out our blog The evolving legal landscape of AI in the hiring process.

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Injy ElDeeb

Injy ElDeeb

is an International Marketing Manager at Greenhouse with a flair for storytelling. When she’s not busy working up content ideas, you’ll find her curled up with a good book on the beach, cooking Mediterranean food, traveling the world or hanging out with friends and doggos at the park. You can connect with Injy on LinkedIn.

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