AI in the Workplace: Legal Considerations and Concerns
Introduction
Artificial intelligence has been a hot topic globally in the last few years. Companies in the US now use these tools to facilitate different processes, including recruitment, onboarding new employees, time-tracking non-exempt staff, data analysis, research, and customer support.
However, while artificial intelligence can heighten efficiency there are legal considerations to be had. As businesses leverage AI to streamline office duties, ensuring compliance with government regulations is crucial to avoid legal hiccups. This article reviews some critical issues related to incorporating AI into the workspace.
1. Discrimination in the Hiring Process
Bias and discrimination are core concerns regarding using AI in hiring and recruitment. Because AI tools like ChatGPT and Gemini typically draw data from the internet and social media, these platforms may contain discriminatory information about specific classes of individuals that could influence the decision-making process.
Employment discrimination based on sex, sexual orientation, race, religion, national origin and color is unlawful under Title VII of the Civil Rights Act of 1964. The Americans With Disabilities Act also prohibits employment discrimination based on mental and bodily impairments. The Age Discrimination in Employment Act makes discrimination on the basis of age illegal. There are others.
Therefore, if AI tools are found to display bias or discrimination towards some individuals in the hiring process, it could put an employer at risk of a lawsuit. As such, business owners must ensure that their use of artificial intelligence aligns with state and federal laws.
The Equal Employment Opportunity Commission has already released a technical assistance document detailing how employers can use AI in compliance with employment law. Employees should review this document and align their processes to follow the guidelines.
2. Data Protection and Privacy
AI tools make decisions based on information from database systems. Employers will likely provide specific business and employment data to enable these tools to facilitate office activities. The information supplied may include employee data. Companies must use AI to process employee information in line with the relevant data protection and privacy policies. Data, cyber and internet security protocols cannot be over looked.
In fact, if employers have formerly gone without data use insurance coverage, this might be a moment to give the option a second look. Also, if employers have used this data without employees express consent, in accordance with local, state and federal law, then employers may want to consider revising data use consent forms to address this specific issue.
3. Accuracy of AI Time-tracking for Non-exempt Workers
Many companies currently use artificial intelligence to track time for workers who qualify for overtime pay. Usually, these tools are incorporated into office computers to monitor elements like keystrokes and webcam activities.
However, many non-exempt employees only spend some days at their computers. Work-related duties may involve non-digital activities like in-person client meetings and report reading. How will employers account for these activities if AI is the desired tool for monitoring overtime duties?
Since failing to adhere to the timekeeping regulations of the Fair Labor Standards Act (FLSA) can result in legal action, answering the above question is critical to AI adoption in the office.
Conclusion
AI adoption continues to grow across American workplaces. However, while these tools can guarantee heightened office efficiency, employers must ensure they use them per state and federal employment laws.
As you incorporate AI into hiring, time-tracking, research, and data analysis, work with an expert employment attorney to ensure you’re not straying too far from government regulations. Our legal team at the Law Office of Sheri Oluyemi possesses in-depth knowledge of US employment laws. We can help you to incorporate AI into your processes in line with the relevant regulations. Reach out to us today to schedule a free teleconference consultation.
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