Abstract: Artificial intelligence (AI) is revolutionising hiring and organisational decision-making, but ethical issues like algorithmic bias, accountability, transparency, and data privacy continue to be major concerns. The ethical aspects of AI-driven hiring are examined in this paper, along with how they affect moral judgement and equitable hiring procedures. 250 respondents provided primary data, and a quantitative research design was used. AI recruitment systems, algorithmic bias, accountability, transparency, data privacy, ethical decision-making, and equitable employment processes were among the constructs looked at. The total scale dependability achieved 0.91, and the reliability results showed strong internal consistency with Cronbach's alpha values ranging from 0.83 to 0.89. Regression analysis accounted for 52% of the variance in fair hiring procedures and ethical decision-making (R2 = 0.52).The results showed that ethical outcomes are most positively impacted by transparency (β = 0.35, p < 0.001) and accountability (β = 0.37, p < 0.001), followed by AI recruiting systems (β = 0.32, p < 0.001) and data privacy (β = 0.24, p < 0.01). On the other hand, fair hiring practices were significantly impacted negatively by algorithmic bias (β = −0.28, p < 0.001).
The findings show that although AI improves hiring efficiency, ethical governance practices are necessary to guarantee justice, openness, and responsible decision-making. By offering empirical data on the significance of governance elements in fostering ethical AI-based hiring practices and practical implications for organisations implementing AI-driven recruiting tools, the study adds to the expanding body of literature on AI ethics.

Keywords: Artificial Intelligence (AI), AI Recruitment, Algorithmic Bias, Ethical Decision-Making, Fair Hiring Practices, Transparency, Data Privacy, Accountability, AI Ethics.