ResumeBuilder.com, the premier resource for professional resume templates and career advice, has published a new survey report examining how U.S. managers are using artificial intelligence (AI) to manage employees. The report highlights widespread use of AI in determining promotions, raises, layoffs, and terminations. In total, ResumeBuilder.com surveyed 1,342 U.S. managers with direct reports.
According to the findings, 6 in 10 managers use AI to make decisions about their direct reports, and among those, the majority rely on it for high-stakes actions. Specifically, 78% use AI to determine raises, 77% for promotions, 66% for layoffs, and 64% for terminations. More than 1 in 5 managers say they frequently allow AI to make final decisions without human input. Despite this, two-thirds of managers using AI to manage people report receiving no formal training.
“It’s essential not to lose the ‘people’ in people management,” says Chief Career Advisor Stacie Haller. “While AI can support data-driven insights, it lacks context, empathy, and judgment. AI outcomes reflect the data it’s given, which can be flawed or biased. Organizations have a responsibility to implement AI ethically to avoid legal liability, protect their culture, and maintain trust among employees.”
The survey also found that nearly all AI-using managers (94%) rely on it to make employee-related decisions. Popular tools include ChatGPT (53%), Microsoft’s Copilot (29%), and Google’s Gemini (16%). In addition to performance assessments and development planning, nearly half of AI-using managers say they use these tools often or all the time to guide decisions related to compensation and employment status.
Despite the growing use of AI, most managers lack formal training. Just 32% say they’ve been formally trained on the ethical use of AI in people management, while 24% say they’ve received no training at all. Haller notes that without structured guidance and oversight, companies risk making unfair or legally questionable decisions.
The survey also found that 46% of managers have been tasked with evaluating whether AI can replace one of their direct reports. Of those, 57% concluded it could, and 43% went on to replace the position with AI.
This survey was commissioned by ResumeBuilder.com and conducted online by the polling platform Pollfish in June 2025.
To view the complete report, please visit: https://www.resumebuilder.com/half-of-managers-use-ai-to-determine-who-gets-promoted-and-fired/
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