Many Artificial Intelligence systems used in Human Resources Management are built on unclear goals, biased data, and opaque processes. These flaws risk distorting hiring, pay, scheduling, and performance decisions, potentially worsening workplace inequalities and exposing employers to legal and ethical trouble, says the International Labour Organization’s latest working paper reveals
The paper he paper, AI in Human Resource Management: The Limits of Empiricism traces challenges to a long-standing HR tendency equating numbers with fairness. This leads to uncritical adoption of imperfect AI that poorly manages complex human factors without safeguards.
Need for Human-Centred AI Deployment and Governance
Janine Berg, Senior Economist at ILO, stresses that without human oversight, AI can undermine fairness, transparency, and trust in workplaces. The ILO calls for stronger worker involvement, clear governance frameworks, and greater system transparency.
AI’s Potential Benefits Must be Matched by Ethical Safeguards
Although AI can improve HR efficiency and expand employment access, responsible adoption requires continuous monitoring, participatory governance, and protection of workers’ fundamental rights.
The ILO’s report serves as a crucial reminder that AI in HR must be approached with care to avoid embedding systemic inequities. Transparent, participatory, and ethically grounded AI deployment is essential to harness technology’s promise while safeguarding decent work and human dignity.
“Organizations often assume Artificial Intelligence will improve efficiency or reduce bias, but these systems depend on the quality of their objectives and data.” — Janine Berg, International Labour Organization
Q&A Section
Q: What risks does AI pose in human resource management?
A: AI can reinforce biases, distort decisions, and reduce fairness if built on flawed data or objectives.
Q: Why is human-centred AI important in HR?
A: It ensures AI supports rather than replaces human judgment, maintaining trust and ethical standards.
Q: What governance measures does ILO recommend?
A: Worker participation, transparent system design, and accountability frameworks.
Q: Can AI still benefit HR processes?
A: Yes, if implemented responsibly, AI improves efficiency and job access.
FAQ
How does AI bias arise in HR?
Biases result from incomplete or biased training data and unclear objectives.
What role do workers have in AI governance?
Active involvement ensures AI respects rights, improves outcomes, and fosters trust.
Are there legal frameworks for AI in HR?
Many regions lack comprehensive AI liability or transparency laws, posing challenges.
What steps can employers take now?
Invest in AI literacy, ensure oversight, and engage employees in AI adoption decisions.