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The Ethical Role of Generative Artificial Intelligence in Modern HR Decision-Making: A Systematic Literature Review

Author

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  • S. Porkodi
  • Teresita Luzon Cedro

Abstract

The rapid development of generative artificial intelligence (AI) has led to the recognition of tools like ChatGPT and its potential to transform human resource (HR) management processes, particularly in decision-making. This review study aims to assess the effectiveness and benefits of ChatGPT in enhancing HR functions, particularly decision-making, and to identify any challenges and ethical considerations involved. Additionally, the study seeks to establish a hybrid framework that combines AI-driven decision-making with human oversight. A systematic literature review was conducted using PRISMA guidelines, selecting 50 articles from Scopus and Google Scholar databases. The literature review includes a synthesis analysis to assess publication trends and a keyword analysis to identify key themes such as ChatGPT’s impact on decision-making in HR management. The study reveals that ChatGPT can streamline HR processes, improve communication, and support personalized learning and decision-making, eventually contributing to enhanced performance and engagement. However, the technology requires human input for moral judgment and empathy, presenting challenges like resistance to adoption, algorithmic bias, and data privacy concerns. This study uniquely contributes to the literature by providing a systematic analysis of ChatGPT’s role in HR decision-making and proposing a hybrid framework that addresses AI’s limitations through ethical guidelines and human oversight. The findings emphasize the need for empirical research in larger, diverse settings and future enhancements to ChatGPT’s contextual understanding of HR.

Suggested Citation

  • S. Porkodi & Teresita Luzon Cedro, 2025. "The Ethical Role of Generative Artificial Intelligence in Modern HR Decision-Making: A Systematic Literature Review," European Journal of Business and Management Research, European Open Science, vol. 10(1), pages 44-55, January.
  • Handle: RePEc:epw:ejbmr0:v:10:y:2025:i:1:id:52535
    DOI: 10.24018/ejbmr.2025.10.1.2535
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    Cited by:

    1. Bahaudin Ghulam Mujtaba, 2025. "Assessment of Teaching Modality for Learning Equivalency and Gender Impact on the International Management Course: Tracking Academic Performance of Undergraduate Ground and Online Students," European Journal of Education and Pedagogy, European Open Science, vol. 6(2), pages 85-96, March.

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