Addressing AI risks in the workplace

This policy brief by the European Parliamentary Research Service examines the risks of using artificial intelligence (AI) and algorithmic management (AM) in the workplace. It highlights how AI, while beneficial for productivity, raises significant ethical concerns and challenges existing labour laws. Employers seek productivity gains, whereas workers fear job loss and demand control over AI's impact on their work lives.

Key findings emphasise AM's potential to optimise operations and decision-making, but also note risks like job displacement, increased surveillance, and bias in AI decisions. The EU's legal framework, including the GDPR and the AI Act, aims to regulate AI systems, ensuring transparency and human oversight.

The brief advocates a balanced approach combining regulatory measures and collective bargaining. It underscores the importance of transparency, worker participation, and continuous social dialogue to address AI's workplace challenges.

The policy brief is structured as follows:

• The first section provides an overview of AI's impact on the workplace and associated ethical concerns.

• The second section examines Algorithmic Management's benefits and risks.

• The third section discusses issues related to data collection, processing, and transparency.

• The fourth section overviews GDPR, the AI Act, and other relevant regulations.

• The fifth section outlines the European Parliament's stance on AI regulation and worker protection.

• The sixth section explores the role of social dialogue in AI governance.

• The seventh section looks at future actions to ensure AI benefits are shared among all stakeholders.