A new survey from Resume Now, a simple and effective resume and cover letter building service, has uncovered how AI is transforming the job search landscape. Resume Now’s AI-Powered Job Search Report, based on a January 2025 survey of over 1,000 U.S. workers, found that 84% say AI has made finding job opportunities easier, with 80% using AI-powered job search platforms. However, this convenience comes with a cost—66% of workers report that AI has intensified competition, making it harder to stand out among a growing pool of applicants.

Key Findings

• AI Simplifies Job Searching: 84% of workers say AI has made finding job opportunities easier, with 80% using AI-powered job search platforms.
• AI Tools are Widely Used in Applications: 68% of workers use AI to write resumes, and 67% use AI to craft personalized cover letters
• Increased Job Competition Due to AI: 66% believe AI has significantly intensified job competition by enabling more applicants to find and apply for the same positions faster.

HR Technology Insights: Employ Acquires Pillar, Revolutionizing Hiring

How AI is Changing Job Applications

AI is becoming an essential part of the job search process. From generating tailored resumes to enhancing cover letters and preparing for interviews, AI tools are helping job seekers navigate today’s competitive job market.

• 68% of workers use AI to write their resumes, ensuring keyword optimization and a professional tone.
• 67% use AI to craft personalized cover letters that better align with job descriptions.
• 76% completely trust AI-generated job recommendations, highlighting growing confidence in AI’s capabilities.

Most Popular AI Tools for Job Seekers:

• ChatGPT (58%)
• AI-powered resume builders (52%)
• AI-driven interview preparation tools (32%)
• AI-based networking tools (17%)

HR Technology Insights: Ellucian Partners with EPI-USE to Boost SaaS in LATAM

AI Increases Job Competition

While AI makes job searching easier, it also raises the stakes in a competitive job market:

• 66% say AI has significantly increased job competition by enabling more applicants to discover and apply for the same positions faster.
• 33% believe AI has somewhat increased competition.
• Only 1% report no impact from AI on job competition.

Navigating the AI-Driven Job Market

The widespread use of AI is reshaping hiring practices, including how employers screen resumes and assess candidates. As more applicants leverage AI tools to optimize their job applications, the bar for standing out continues to rise. This dynamic is driving job seekers to find new ways to differentiate themselves, such as using more creative, personalized applications or enhancing their digital presence.

“AI is playing an increasingly significant role in job searches,” says Keith Spencer, career expert at Resume Now. “Our findings show that many job seekers are using AI tools to assist with job applications, and a majority believe AI has made job searching easier. At the same time, most workers acknowledge that AI has also increased job competition. Understanding how to navigate AI-driven hiring processes can help job seekers optimize their applications and job search strategies.”

HR Technology Insights: ServiceNow Expands AI with Moveworks Acquisition

To participate in our interviews, please write to our HRTech Media Room at news@intentamplify.com

Source: PR Web