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  • The rapid advancement of technology has been both a blessing and a curse for business owners. On one hand, it has streamlined processes, increased efficiency, and opened new growth opportunities. On the other hand, it has also raised concerns about privacy, security, and ethical implications. This is especially true in the realm of human resources (HR), where the integration of artificial intelligence (AI) has been met with both excitement and worry. While the benefits of AI in HR are undeniable, its use also brings the need for regulations and guidelines. As a business owner, it’s important to be proactive in preparing for these regulations to ensure compliance and responsible use of AI in the workplace. Let’s explore the steps that business owners can take to prepare for HR regulations in the age of AI and stay ahead of the curve.

    Understanding The AI Impact

    The inclusion of AI into HR creates waves, reshaping age-old practices from hiring to employee engagement. AI facilitates quicker, data-driven decisions and brings predictive analysis to the table, adding a layer of personalization to the employee experience. Yet, alongside the advantages come fresh regulatory challenges that businesses can’t afford to ignore.

    While AI can make the recruitment process more fair and less biased with resume anonymization, AI is still trained on data. That means if the data is outdated and harbors biases, it could lead to problems. Recognizing how AI intersects with and influences HR practices is the launching pad for effectively sailing the waters of AI-infused HR regulations.

    Navigating Through The Data Privacy Crisis

    As AI becomes increasingly intertwined with HR processes, data privacy has surfaced as a critical concern. HR departments are harnessing AI’s power to sift through enormous amounts of personal data, underlining the urgency for stringent data protection. Businesses now have an even bigger responsibility to navigate the waters of data privacy. It’s about implementing AI systems that carry potent data protection mechanisms and, most importantly, comply with privacy regulations such as the General Data Protection Regulation (GDPR) and the California Consumer Privacy Act (CCPA). The goal of this task isn’t about steering clear of hefty fines; it’s an integral move towards maintaining an organization’s reputation and the crucial trust of employees. Embarking on this path means exploring unchartered territory, yet it’s a necessary and unavoidable journey in this age of AI.

    Tackling The Bias Challenge In AI Systems

    In an era where AI technology is advancing at lightning speed, the prospect of inherent bias in these systems poses a substantial challenge. Essentially, AI systems mirror the information they’re provided. Consequently, biased data inputs can culminate in skewed decision-making outcomes, trickling down to critical HR functions such as hiring and promotion strategies. This raises an important question for businesses: How do we prevent AI from reinforcing existing biases? It starts with designing and training AI systems that actively combat bias. Implementing transparency in AI algorithms is another crucial step towards this goal, allowing for easier identification of bias. By frequently auditing these systems, businesses can identify and address any hidden bias, thus promoting fairness in HR operations. Hence, it’s not just about integrating AI into HR – it’s about doing it correctly.

    Ensuring AI Systems Are Accountable

    Questions around accountability can no longer be ignored regarding AI. When an AI system fumbles, whose door should responsibility knock on? How does one manage legal repercussions born out of AI decision-making? The answers lie in intertwining AI and human oversight. This strategy not only checks the unchecked autonomy of AI systems but also places reliability when things go wrong. Human oversight ensures that accountability isn’t a victim in the quest for AI-powered HR functions. This integration protects the organization from potential legal fallout and fosters trust in the system. So, while we harness the power of AI in HR, let’s not forget to weave in the wisdom of human judgment. It’s about balancing innovation and responsibility – that’s how businesses can truly own their AI journey.

    Staying Ahead: A Proactive Approach To Regulations

    In this evolving world of AI, a reactive approach to regulations is akin to driving with your eyes in the rear-view mirror – it’s risky and far from optimal. To truly stay ahead, businesses must shift gears and embrace a proactive approach. This involved keeping a finger on the pulse of prospective legislative alterations, taking an active role in pertinent regulatory dialogues, and advocating for regulations that are fair and practical. Simply put, don’t just keep up with the regulatory changes; anticipate them.

    In addition, consulting with a legal professional who specializes in AI can be your compass in this uncertain regulatory terrain. Or, you can partner with a professional employer organization (PEO) like GMS. Our HR experts stay ahead of evolving regulations, leveraging AI-driven solutions compliant with standards and providing tailored guidance. In this synergistic partnership, your business not only adapts but flourishes, confidently embracing AI while seamlessly complying with the ever-evolving HR regulations. With GMS by your side, the future of HR compliance with AI isn’t just a destination; it’s a strategic advantage. Contact us today to learn more.

  • In a world rapidly shaped by technological advancements, the emergence of artificial intelligence (AI) has revolutionized various industries, including human resources (HR) and employment. Recognizing the immense potential of AI in streamlining hiring processes, New York City took a groundbreaking step by introducing a unique law that regulates employers’ use of Automated Employment Decision Tools (AEDTs). After months of anticipation and rule changes, the law officially entered its enforcement phase on July 5th, 2023, ushering in a new era of transparency, fairness, and accountability in hiring and promotions. Continue reading to explore the significance of this groundbreaking regulation and how it sets a powerful precedent for the future of AI in the workplace.

    The Evolution Of New York City’s AI Bias Regulation

    The journey towards New York City’s AI bias regulation began on January 1st, 2023 when the first-of-its-kind law took effect. However, enforcement was temporarily delayed, accommodating essential clarifications and revisions in the regulations. Each rulemaking stage brought about material changes, leaving employers and stakeholders anticipating the final outcome. The release of frequently asked questions (FAQs) by the New York City Department of Consumer and Worker Protection alongside the enforcement date aimed to provide much-needed clarity on the law’s provisions.

    Addressing AI Bias: A Step Toward Equality And Fairness

    With AI taking on a more prominent role in hiring and promotion decisions, concerns about bias and discrimination have become more prevalent. The New York City law compels employers to conduct bias audits of their HR technology systems to identify and fix any potential bias. These audits, conducted by impartial third parties, are instrumental in holding employers accountable for the fairness and impartiality of their AI-driven employment processes. While AI has undeniably streamlined hiring processes, there’s also a potential for unintended biases to perpetuate if left unchecked. New York City’s regulation is a crucial safeguard to ensure that AI enhances the hiring process without compromising equality.

    Coverage And Compliance: Who And What Is Included

    The FAQs accompanying the law provide clarity on its scope and application. Employers and employment agencies fall under the regulation if the job is located in New York City. The employer’s location is not the determining factor; rather, the job’s physical location decides applicability.

    As for automated tools covered by the law, AEDTs encompass computational processes derived from machine learning, statistical modeling, data analytics, or AI that issue simplified outputs. These outputs may include scores, classifications, or recommendations used to assist or replace discretionary decision-making in employment decisions. If an AEDT is used at any stage of hiring or promotion to assess candidates, the employers and agencies must comply with the law’s requirements. Notably, the regulation only applies to AEDTs directed towards actual job seekers or employees, not those used for sourcing candidates or conducting outreach.

    Transparency And Bias Audits

    Transparency is a cornerstone of the law, and employers must publish a summary of the results of their most recent bias audit. The audit’s purpose is to evaluate AI tools’ potential disparate impact on sex, race, and ethnicity. To maintain impartiality, the audit must be conducted by third-party entities with no vested financial interests in the employer. The results of the bias audit must include relevant data, demographic information, and selection or scoring rates, all with a focus on upholding non-discriminatory practices.

    Collaboration And Compliance

    As businesses adapt to this regulation, they can expect the New York City Department of Consumer and Worker Protection to work alongside them in a spirit of collaboration rather than punitive action. This approach acknowledges that regulating AI-driven employment activities requires a nuanced understanding and is best achieved through collaboration between stakeholders.

    What Employers Should Know

    New York City’s law regulating employers’ use of AEDTs in hiring and promotions marks a momentous milestone in the journey towards fair and bias-free AI integration in the workplace. Amidst the complexities of New York City’s groundbreaking AI bias regulation, businesses should be aware of the support and expertise of a professional employer organization (PEO). PEOs like GMS offer comprehensive HR solutions, including AI compliance services, that ensure seamless integration of automated employment decision tools while adhering to the law’s requirements. By partnering with GMS, businesses can access the latest auditing practices, unbiased third-party assessments, and tailored guidance to ensure transparency and fairness in their hiring and promotion processes.

    As businesses face the challenges of this ever-evolving landscape, GMS serves as a trusted partner, helping them harness the full potential of AI while protecting against bias, discrimination, and compliance issues. With GMS by your side, businesses can confidently embrace the future of AI in New York City while prioritizing diversity, equity, and a thriving workforce. Contact us today to learn more.

  • Are you tired of writing job descriptions that fail to attract top talent? Or perhaps you’re struggling to accurately capture the essence of a position and effectively communicate the required skills and qualifications? Does the solution lie in the power of artificial intelligence (AI)? With AI-powered tools and technologies becoming increasingly popular, you can revolutionize your approach to job description writing, creating engaging and informative descriptions while saving time and effort. That sounds like a no-brainer, right? Not so fast…

    AI In Today’s Economy

    The world was taken by storm, being introduced to AI platforms such as ChatGPT, CopyAI, Jasper, Sudowrite, and more. However, AI has been around for decades and has helped businesses automate critical tasks and make their operations more efficient. AI is a wide-ranging branch of computer science concerned with building smart machines capable of performing tasks that typically require human intelligence. Since the emergence of ChatGPT in late 2022, studies show that one in four companies have replaced their employees with it.

    The impact of AI on the economy cannot be overstated. From manufacturing to health care, AI-powered technologies have revolutionized the way we work. More specifically, for HR professionals, AI offers a wealth of opportunities to streamline recruitment, optimize workforce planning, and improve employee engagement. However, with these benefits come new challenges and ethical considerations. As the use of AI continues to grow rapidly, HR experts must carefully consider the potential risks and benefits while staying up-to-date on the latest developments.

    The Good And Bad Of Utilizing AI For Job Descriptions

    As we continue to hear more and more about the various AI tools that could help business owners with time-consuming tasks, one should be aware of the pros and cons. While AI can help HR professionals in many aspects of their work life, we’re discussing the good and bad when using AI specifically to write job descriptions.

    The good

    AI-powered tools can save HR professionals time and effort by automating the writing process and generating descriptions more likely to attract top talent. In addition, AI is beneficial as it focuses on the following:

    • Consistency: AI-generated job descriptions are oftentimes more consistent than those manually written, ensuring that all job postings have the same level of detail and quality.
    • Inclusivity: AI can help create more inclusive job descriptions by flagging potentially biased language by suggesting alternative phrasing.
    • Keyword optimization: AI tools and resources can optimize job descriptions for search engines, making them more likely to appear in job search results.

    The bad

    While there are a handful of positives to utilizing AI, there are also potential downsides. Let’s take a look at the downsides AI could have when using it to write job descriptions:

    • Lack of personal touch: AI-generated job descriptions lack human touch and personality and fail to capture the unique aspects of a particular role or company culture. Many argue that AI-generated job descriptions sound like a series of buzz-words strung together.
    • Limited creativity: AI may be limited in terms of generating job descriptions that are creative and engaging, which can be crucial in specific industries or for certain roles. Can a robot really capture the culture of your company?
    • Inaccuracies: Utilizing AI for job descriptions may contain inaccuracies or errors if the algorithm is not trained correctly or if there are gaps in the data.

    Let’s Put AI To The Test

    Considering the pros and cons of using AI to write job descriptions, why don’t we put AI to the test and see what happens? When you ask ChatGPT to “write a job description for a sales representative in the manufacturing industry,” it comes up with the following:

    Job Title: Sales Representative – Manufacturing Industry

    We are a leading manufacturing company seeking a highly motivated Sales Representative to join our team. As a Sales Representative, you will be responsible for building and maintaining client relationships, generating new leads, and driving sales in the manufacturing industry.

    Responsibilities:

    • Identify new business opportunities and generate leads through research, networking, and referrals
    • Build and maintain relationships with current and potential clients, including manufacturers, distributors, and retailers
    • Develop and execute sales strategies to achieve sales targets and increase revenue
    • Conduct product presentations and demonstrations to prospective clients
    • Negotiate and close sales deals in a timely and professional manner
    • Attend trade shows and other industry events to stay up-to-date on industry trends and establish new contacts
    • Provide exceptional customer service to ensure client satisfaction and loyalty
    • Collaborate with internal teams to ensure timely delivery and successful completion of projects

    Qualifications:

    • Bachelor’s degree in business administration, marketing, or a related field
    • 2-3 years of sales experience in the manufacturing industry, with a proven track record of meeting or exceeding sales targets
    • Strong communication and interpersonal skills, with the ability to build and maintain relationships with clients and colleagues
    • Excellent negotiation and closing skills
    • Knowledge of manufacturing processes, materials, and industry trends
    • Ability to work independently and as part of a team, with a strong sense of initiative and a results-oriented mindset
    • Proficiency in Microsoft Office and CRM software

    If you are a self-motivated and results-driven sales professional with a passion for the manufacturing industry, we encourage you to apply. In return, we offer a competitive salary and benefits package, as well as opportunities for career advancement and personal growth. Join our team and help us shape the future of manufacturing!

    While this extensive job description gives the applicant an excellent overview of the role, it’s still missing the extra detail and human touch writing your own job description would include. For a Sales Representative role, you’d want to have numbers and goals they are responsible for hitting. It’s essential to include the expectations of the position, so they know what to expect, at least within their first few months at your company. In addition, the description is missing the benefits included with the position, such as paid time off (PTO), medical, dental and vision insurance, territory (if applicable), and more. In addition, it doesn’t include the salary, as most sales positions typically earn a base salary, or it’s strictly commission. That’s important for the applicant to know when applying for the job. Above all else, it’s simply not enticing – there’s no character or charisma to be found.

    Is AI Worth It?

    While AI will provide you with a job description that will save you time, you’ll quickly find your candidate pool diminishing from a lack of interest. It’s your responsibility as a business owner to attract the talent your business wants and needs to succeed in this challenging labor market. Have you considered partnering with a professional employer organization (PEO)? Partnering with a PEO such as GMS can be highly beneficial for business owners who don’t have enough time to craft the perfect job description. GMS’ HR experts help businesses create job descriptions that accurately reflect the company’s needs while highlighting the unique benefits and opportunities of working with your business. Ultimately, working with a PEO can help companies to streamline their hiring process, save time and resources, and build a stronger, more effective workforce. Let’s find you the employees you’ve been searching for. Contact us today!