Artificial intelligence (AI) is rapidly transforming human resource management, particularly in recruitment and selection. This study examines the multifaceted role of AI-driven tools in modern hiring processes, analyzing their practical applications, underlying technologies, organizational benefits, ethical challenges, legal implications, and future trajectory. Drawing on empirical studies, industry reports, theoretical frameworks, and real-world case studies from organizations including Unilever, IBM, and Amazon, this research provides a comprehensive assessment of how organizations across industries are integrating AI into talent acquisition pipelines. The findings reveal that while AI significantly enhances efficiency, scalability, and data-driven decision-making, it also introduces substantial risks related to algorithmic bias, privacy concerns, reduced human oversight, legal exposure, and negative candidate experience. The paper synthesizes these findings into a strategic framework and concludes with actionable recommendations for organizations seeking to adopt AI in recruitment responsibly, ethically, and equitably.