The Question:
What are the dangers of AI using bias and discriminatory algorithms in assessing an applicant’s or employee’s suitability to work at your company or organisation?
The Answer
Employers and recruiters have started using AI for recruitment and other HR functions and this practice will grow as AI evolves. The focus will have to be on the safeguarding of applicants and employees from the risks of discrimination and bias caused by using AI tools and technology.
These safeguards are expected to come from legislation and regulators. The regulators under consideration include the Information Commission Office, the Financial Conduct Authority, the Competition and Markets Authority, the Health and Safety Executive, Ofcom and the Human Rights Commission. The regulators are expected to be publish guidelines in 2024.
The Risk / Threat:
Compensation in discrimination claims is uncapped and can result in substantial financial damages award being made. Employer face vicarious liability claims for the actions of employees using AI incorrectly.
What you need to:
As employers can be held vicariously liable for discriminatory act committed by their employees, they will need to show they took reasonable steps to prevent such acts. Employer will have to take heed of any new laws created by Parliament and guides created by the regulators. Employers will need to train employees to use AI tools correctly and recognise discrimination.
If you need any further guidance and help on the matter, please do not hesitate to contact us on 01455 852 028.
