I Wonder If It's Time to Introduce an AI Policy

Artificial intelligence (AI) is evolving at an unprecedented pace, with an increasing number of people integrating applications such as ChatGPT into their daily lives. With the rise of generative AI (GenAI) tools capable of performing a wide range of work-related tasks, employers must consider whether to introduce an AI policy in the workplace.

The Current Landscape of AI in the UK

In the United Kingdom, there is currently no specific legislation governing AI. However, various laws and regulations may indirectly affect the use of AI in the workplace, including the Equality Act 2010 and data protection legislation.

In 2021, the UK Government introduced the 'National AI Strategy,' marking the beginning of a significant shift for AI in the country and its use. Although the Government has not yet proposed specific legislation, it plans to regulate AI primarily through guidance and existing regulatory frameworks.

Most Common Uses of AI in Workplaces

There are a variety of ways in which AI-assisted tools can be utilised in the workplace:

• Recruiting and Hiring – Companies, particularly HR professionals, may use AI to scan CVs and application forms, prioritising candidates based on specific keywords. Additionally, virtual assistants or chatbots may be employed to handle preliminary questions about job qualifications, salary ranges, and the hiring process, potentially screening out candidates who do not meet certain criteria.
   
• Performance Management – AI tools can be used to identify candidates for promotion or assess individual employee performance.
   
• Workplace Safety – AI tools can be used to identify potential workplace safety hazards, such as monitoring driver behaviour via dashcams and detecting risky driving behaviours.
   
• AI in Customer Service – Many organisations use AI-powered chatbots to handle customer queries.
   
• Research and Drafting – Employees can use tools like ChatGPT to conduct research and draft documents they need, or even to compose emails.

Potential Legal Issues

Whilst the following is not an exhaustive list, it highlights some of the most significant legal issues:

• Discrimination – AI tools used in recruitment may be developed using biased data. Therefore, there is a risk that AI tools will replicate these prejudices or biases in their decisions. This can lead to discriminatory outcomes and, in turn, potential discrimination claims.
   
• Data Protection – When using AI tools in general, any information entered into them may be retained, potentially leading to confidential or sensitive data being stored and recycled in responses for others. Furthermore, from a GDPR perspective, sharing employees' or clients' personal data can have serious and costly legal consequences. The Information Commissioner has the authority to impose monetary penalties for GDPR breaches, with the maximum fine for severe breaches being £17.5 million or 4% of the total annual worldwide turnover from the preceding financial year, whichever is higher.
   
• Inaccurate Information – Employers may wish to use AI tools for drafting purposes, such as contracts or policies. While these tools can provide a useful starting point or outline, there is a risk that they may produce inaccurate information, for example, by citing laws from a different jurisdiction or by relying on outdated material.

Key Areas to Address in an AI Policy

If you allow your workforce to use AI tools, it may be advisable to introduce an AI policy outlining your expectations for their use. The policy could include the following points:

• Authorised AI Applications – The policy could specify a list of acceptable applications or, alternatively, outline those that are not permitted. By adopting this approach, employees will have a clear understanding of the expectations placed upon them.
   
• Permitted Use – Clearly outlining the purposes for which authorised AI applications may be used in the workplace. If they are to be used for screening candidates, it should also be specified that all final decisions must be made by a human.
   
• Setting Out Clear Guidelines – While the list of legal issues above is not exhaustive, it highlights some of the challenges that can arise when using AI tools. Including clear guidelines in the policy that proactively address these issues can bring them to the forefront and reduce the risk of problems.
   
• Training – If workplace training is provided on the use of AI tools and how to use them safely, it may be useful to reference this in the policy.

Conclusion

In conclusion, if your workforce regularly uses AI tools in their daily work, it is worth considering both the potential benefits and the possible consequences. Introducing an AI policy can raise awareness of the associated risks, set clear expectations for employees, and provide guidance on using these tools safely.

Further Advice

If you have any queries on AI Policies or any other employment-related matters, our Peace of Mind Team is here to provide expert guidance. Our Document Audit Team can also assist in drafting relevant workplace policies.

Contact our Employment Team by emailing employment@warnergoodman.co.uk or calling 02380 717 717.

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