Goldman Sachs Group Inc, Morgan Stanley, Citigroup Inc and UBS Group AG are exploring the use of artificial intelligence software to judge applicants on traits – such as teamwork, curiosity and grit – that help in the workplace but don’t always show up on a resume or come through in an interview. Banks are turning to the hiring software at a time when they are under pressure to cut costs and finding it difficult to lure and retain top talent. Bank executives hope that artificial intelligence will help them avoid the expense of problem hires and turnover, industry sources said.
[…] While Wall Street is not the first place the technology has been tried, it is not yet widespread. The banks hope it will help them compete for recent college graduates who are attracted to Silicon Valley firms and hedge funds. They also hope it will help them avoid hiring the wrong person, which can be expensive and can lead to costly mistakes and lost business opportunities, said bank executives and staffing consultants. Capital One Financial Corp estimates the cost of a bad hire can be as much as three times that employee’s salary.