None of us can ignore the impact of AI in the workplace. Love it or loathe it, AI is here to stay!  

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It is clear that there are a number of ways in which the application of AI can save time and money and that there are already a  number of AI applications which are commonplace.  These include contract drafting, performance management tools, recruitment and interviewing as well as selection and scoring in the context of restructuring.

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Great benefits however are accompanied by significant risks.  The first area of risk relates to data protection and privacy.  The integration of AI into the workplace often includes the sharing and use of personal and sensitive personal data.  In addition trade secrets and other business sensitive information are often introduced into Large Language Models or LLMs.

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Employers therefore need to ensure that their systems and operating guidance protect the privacy and security of this data when utilising these applications.  Data protection rights are unaltered by AI and are the subject of increasing complaints and onerous legal sanctions.

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The potential abuse of the Intellectual property rights through the use of AI particularly in the wider context of the Arts has been much discussed. These risks are also found in the use of AI in the workplace. Great care (and advice) will be required to verify the output created through AI applications to protect against the risk of Intellectual Property breaches.  Equally employers may also find their own copyright to have been infringed through outputs generated by AI and need to ensure they take appropriate action to protect their own intellectual capital.

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Finally, there is often the risk of inherent bias in automated decision making.  AI systems can perpetuate certain stereotypes and, from time, result in unlawful discrimination on the grounds of a protected characteristic such as sex and race. Non appointment or dismissal can therefore become unlawful and expose the employer to significant risk of legal action.

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There are a number of action points for HR professionals. The first key point is to conduct an audit so as to identify when and where it is being used in your own workplace.  Particular attention should be paid as to which applications are being used as predictably some applications are more reputable than others.

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Consideration should be given as to whether a list of permitted applications is appropriate. Once the audit has been completed then employers should consider the introduction of a formal AI policy.  A policy in itself does not solve the problem.

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It needs to be trained out, well publicised and regularly updated. AI will also impact on other existing polices such as policies on Diversity, Inclusion and Equality, IT and communications, Bring your own Devices and Workplace conduct and business ethics. These will also need to be reviewed and updated.

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We are always happy to have an initial discussion – please do get in touch with Catherine Wilson to find out how FMGS can help you.