addition, the opacity of automated decision-making
creates concerns about fairness, and accountability.
We urgently need an AI-based solution that
automates the resume short listing process and
ensures a more accurate, scalable and ethically
integrious hiring outcome.
3 LITERATURE SURVEY
AI in recruitment has been around for a few years now
but in recent time has evolved to be more fair,
efficient and effective. Lo et al., (2025) proposed a
multi-agent-based framework in the context of using
large language models for resume screening to
demonstrate the possibility of contextualization.
However, their work was mostly limited to simulated
environments. Lal and Benkraouda (2025) have
highlighted the importance of addressing selection
bias in the initial interview stages in order to lay the
groundwork for fairer screening processes.
Mukherjee (2021) investigated machine learning in
candidate selection, but did not scale to enterprise
deployment, leaving room for stronger and more
realistic evaluations.
The adoption of AI chatbots described by Nawaz
and Gomes (2022) created avenues for the
incorporation of conversation-based AI in
recruitment systems, and the basic AI models for
automatic CV generation as implemented by Kafre
(2021), gap the opportunity in intelligent ranking.
Generalized AI applications in business, such as
those described by Isguzar et al. (2024), demonstrates
the flexibility of AI, that can be customized for
recruitment-oriented tasks. Although outdated,
studies like Zlatanov and Popesku (2019) and
Kongthon et al. (2009) emphasise the early desire to
automating human-centred processes.
Concepts from legacy automation (O'Brien, 2016;
Clark, 2016) model the development of customer
service AI, and provide a foundation for recruitment-
specific applications. Vendor views; eg Phenom
(2025), HeroHunt. ai (2025), and Bullhorn (2025) are
industry-focused approaches, but the algorithms of
these approaches are often not transparent, calling for
a more academically based approach. Bottlenecks
such as Guide such as for operation of AI tool
iProspectCheck, MokaHR, and Rolebot help
understand functional deployment of AI tool but are
weak in technical and ethical rigour.
Enhancv (2025); Novoresume (2025) provide
examples of resume formatting as seen from the
applicant's viewpoint, with potentially salient data
points that can be used to improve parsing
accuracies. More industry discussions from Business
Insider (2025), Financial Times (2024), and the
LinkedIn posts from Brooke (2025) and Jayatissa
(2025) show that the industry is increasingly
cognizant of the impact of AI on the labor force, but
skeptical of its fairness and reliability. Finally, The
Times (2024) offers a real-world case study of AI
implementation in one company, providing a
practical guide for developing AI screening
algorithms that are generalizable across companies
and scalable.
Taken together, these studies present a solid
evidence base for AI-assisted hiring, but also
highlight key gaps in fairness, explain ability, and
applied validation gaps we hope to address with a
transparent, scalable system for resume screening,
and ranking.
4 METHODOLOGY
In this study, we propose an AI-based resume
screening and ranking system, which harnesses deep
learning, natural language processing (NLP), and
explainable AI techniques to autonomously shortlist
suitable candidates in hiring tasks. The methodology
is aimed at addressing drawbacks associated with
manual and rules-based applicant tracking systems
(ATS) and is not efficient, not reliable and do not
provide contextual knowledge. The system is
designed to extract, interpret and rank the importance
of headers (Skill, Experience, etc) in resume, find
semantics related to headers and matching them with
headers in a sophisticated way, thus enabling
transparent and fair decision-making. The process of
development starts with a means of collecting and
preprocessing the data. We collect and anonymize a
large and diverse dataset of resumes and job-postings
in the wild, and format it for structured parsing. The
resumes are all standardized into a common format
after applying several pre-processing steps that
involve tokenization, lemmatization, stop-word
removal and NER. These processes guarantee that the
model is supplied with clean and pertinent inputs to
be analyzed. The job descriptions are also pre-
processed to strip out skill sets, experience levels,
qualifications and responsibilities for an ideal
candidate.
Figure 1 shows the AI-Driven Resume
Screening and Ranking Workflow.