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should be mindful of the risks associated with its use in the workplace, and sufficient policies and safeguards should be put in place to mitigate these. ‘Hallucinations’ and inaccuracies There are many benefits to using AI, but it’s also important to note that such systems aren’t infallible. In some circumstances, AI systems can misinterpret data, resulting in inaccuracies or ‘hallucinations’. As such, it’s important for organisations to ensure there’s still an element of human oversight within processes where AI systems are being used to verify results. And to correct any mistakes where they occur. Privacy AI systems require the input of large volumes of data to operate most effectively. Therefore, organisations must ensure that any data collected and processed from employees is done so lawfully and in accordance with the General Data Protection Regulation or ‘GDPR’ rules (i.e., for specified and legitimate purposes). Organisations should also be mindful of the types of AI tools it uses, particularly as public AI systems can store confidential information which could inadvertently be shared with third- party users. Bias and discrimination As highlighted within the House of Commons report back in 2023, there are concerns that AI systems can potentially produce biased or discriminatory results based on the data they use. It’s been highlighted that, where used in recruitment processes, AI systems have led to bias towards certain protected characteristics, such as women, without providing any objective justification. For this reason, it’s important that the use of AI within these processes is monitored to ensure that any results which could be discriminatory can be identified and addressed accordingly. The Government’s guidance on responsible AI in recruitment also recommends that AI systems are regularly audited to assess for bias and to monitor their performance over time. What can be done to manage risks associated with AI use? Organisations that are already using AI, and those considering introducing it, should ensure there are robust policies and safeguards in place to manage the use of these tools. These organisations should also identify the risks associated with the use of AI. Clear guidelines should be provided for employees with regards
to the acceptable and responsible use of AI, along with information about the way the organisation intends to monitor the use of these systems. Sufficient training should be given to employees to ensure AI systems are used correctly and for the purposes intended.
Paul Chamberlain ACIPP Head of Employment and People Solutions, JMW Solicitors
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