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Sunday, June 8, 2025

AI and Employment - JD Supra

When evaluating where artificial intelligence has had the most impact, many think of their personal use of AI or the integration of AI into many consumer applications. The use of AI in the employment context is on the back burner for many, but it has become a significant issue.

Employers, of course, must understand how AI can be used for Human Resources functions such as hiring, monitoring, and performance evaluations; to assist in maintaining the organization’s competitive edge; and the legal risks associated with AI use. Employees must be aware of the organization’s standards for use of AI and how to avoid creating data security or privacy risks, while also understanding how to use AI in compliance with the employer’s policies and practices.

Regulatory background

As we have reported here and here, AI-specific regulation is relatively limited, even in states such as California, Colorado, and Virginia, which tend to be at the forefront of regulating new technologies. Most of new legislation is directed at amending or supplementing existing laws. Although the majority of legislation is directed at “high-risk systems” and preventing “algorithmic discrimination,” the breadth and complexity of issues have made it exceptionally challenging for policy makers to reach a consensus on how to regulate AI.

At the federal level, Congress has shown no indication that it will pursue sweeping AI regulation. However, just two weeks ago, tucked in the U.S. House of Representatives Energy...



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