The ethical considerations of using AI algorithms in hiring involve issues of bias, transparency, and fairness. Algorithms trained on historical data may inadvertently reinforce existing biases, leading to discrimination against certain groups. Candidates may not fully understand how hiring decisions are made, raising concerns about transparency and the right to explanation. Additionally, ethical data use must be prioritized to ensure that personal information is handled responsibly. Organizations should implement measures to mitigate bias and promote inclusivity in their hiring practices to navigate these ethical dilemmas.