AI in the workplace: How can it benefit and pose a risk to your company?

With the development of new technologies and tools using artificial intelligence (AI), there is also an opportunity for employers who want to create modern workplaces, as well as improve their company’s operations.

AI in workplaces can be used in a number of ways – both by the employer itself and by employees while doing their jobs.

Is the use of AI regulated in Poland?

At the outset, it is worth clarifying that Poland currently has no law that explicitly regulates the use of AI in the workplace. Poland’s Labor Code currently does not contain provisions on the use of AI by employers or employees.

However, regulations on artificial intelligence can be found at the European Union level. On March 13, the European Parliament passed the so-called AI Act, a regulation on artificial intelligence. Among other things, it aims to regulate its use and define prohibited practices to protect citizens from the misuse of AI.

The Artificial Intelligence (AI Act) Regulation was published in the Official Journal of the European Commission on July 12, 2024, and is expected to take effect 20 days after publication in the Official Journal of the EU.

In the longer term, we can expect the regulations contained in the AI Act to be reflected in changes to national laws. As a result, employers should already familiarize themselves with the opportunities provided by artificial intelligence and pay attention to the potential risks associated with its use. On this basis, they can make informed decisions about implementing AI in their companies in the near future.

How can AI help employers?

Artificial intelligence (AI) offers employers a number of benefits that can significantly improve the efficiency and quality of work in various areas of the company.

Here are some of the main applications of AI:

• Employee recruitment and selection: AI can analyze applicants’ applications, helping employers select those who best meet the requirements for the positions on offer
• Staffing matters: AI can help analyze staffing needs and plan hiring based on forecasts of future demand in specific departments of the workplace.
• Labor optimization: AI can monitor employee performance, analyze data and assist management personnel in identifying areas that need improvement.
• Process optimization: AI systems can analyze an organization’s business processes, increasing their efficiency and identifying problems such as the causes of production delays. AI also assists with calendar management, meeting scheduling and work time organization.
• Forecasting market trends: AI can analyze industry-specific data, predicting future trends and changes in the market.
• Client service: AI improves and automates client service, especially for basic problems and frequently asked questions. Chatbots and other AI tools can provide quick and efficient assistance to clients.
• Financial analysis and budget forecasting: AI helps with financial analysis by identifying patterns and anomalies in data. It can also forecast future revenues and expenses, which contributes to better management of a company’s budget.

Using AI can not only streamline and facilitate a company’s operations, but also make it more competitive in the market. It will attract new clients and better qualified employees.

It is forecast that many industries, such as financial, agricultural, medical, advertising, retail, recruitment, and manufacturing and logistics companies, will benefit from using AI in the near future.

What are the risks of using AI in the workplace?

AI is a relatively new tool that is constantly evolving. Which means it is not yet perfect. Despite its many benefits, its use can also come with some problems, especially when it is used indiscriminately and not in compliance with legal requirements.

Here are the main risks associated with AI in the workplace:

• Data privacy: AI collects and uses data, which can pose privacy risks. There is a risk that sensitive, personal, or trade-secret data will be introduced into AI systems . This can lead to claims for damages, especially in the case of hacking attacks that can leak such data.
• Copyright – AI may use graphics, content, and other copyrighted works without users’ knowledge, which may lead to copyright infringement. This could result in potential claims from authors.
• Discrimination in recruitment – Automation of the recruitment process and analysis of resumes by AI can be discriminatory, especially if the search criteria for candidates are set incorrectly. This can lead to unequal treatment of candidates.
• Changing work culture – Automation of work processes can lead to employee dissatisfaction, reduced employee interaction and fear of potential layoffs. This can negatively affect the atmosphere in the workplace.
• The need for additional skills – The use of AI may require employees to have additional skills, which may involve organizing additional courses or even retraining.
• Implementation costs – Implementing AI in a workplace can be costly for an employer. Costs range from training employees to purchasing AI programs and systems.

How to properly implement AI in the workplace?

Any employer who wants to effectively manage the challenges created by the use of AI should approach its implementation with ethical, legal and social considerations in mind . Proper training should be provided to both themselves and employees, while ensuring transparency and communication in the workplace.

Legal consultation is also recommended before using such tools. It is worth considering the introduction of rules and regulations for the use of AI at the workplace, which employees could use if concerns arise or during their daily work with AI.

However, there is no doubt that the use of AI in an appropriate and legal manner can bring many benefits to the employer – both organizational and financial.

If you have more specific questions about the implementation of AI tools in your workplace, we encourage you to contact the specialists in our law firm’s labor law department at: [email protected]