Pub. 11 2022-2023 Issue 3

NCDA.COM 11 Given the myriad of ways artificial intelligence is now being used to streamline business processes, it’s no surprise that federal agencies are scrutinizing potential employment-related biases that can arise from using artificial intelligence (AI) and algorithms in the workplace. Indeed, the Equal Employment Opportunity Commission (EEOC) Chair Charlotte Burrows recently called AI advancements a “new civil rights frontier.” Recently, she joined the leaders of several other agencies to announce their joint position on the use of AI, as well as their commitment to education and enforcement efforts. The agency leaders made clear that while we may see new laws and regulations addressing AI use, existing civil rights laws already govern how these new technologies are used. “There is no AI exemption to the laws on the books,” noted Lina Khan, Chair of the Federal Trade Commission (FTC). So, what does this mean for employers? The time is ripe for you to review your policies and practices and consider performing an AI audit to flag and address potential biases in your systems. Here are four important steps you should consider taking when using AI in the workplace. 1. RECOGNIZE THE UPTICK IN WORKPLACE AI USE AND POSSIBLE ENFORCEMENT EFFORTS First, let’s define a few terms. The use of AI generally means a computer is doing tasks that are typically performed by an employee. Algorithms are rule sets for computers based on patterns, which may be used, for example, in software programs for sales and marketing, as well as recruiting efforts. In fact, a recent FP Flash Survey showed that employers most commonly use AI for HR recruiting (48%), followed by sales and marketing (46%). Other popular uses include operations and logistics (32%), customer service (24%) and finance and accounting (24%). The survey results showed that a solid number of employers are using AI — and that number will grow in 2023. The overwhelming majority of employers said their use of AI has been Employers Beware: “There Is No AI Exemption to the Laws on the Books”... 4 Steps To Consider When Using AI in the Workplace By Fisher Phillips

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