President Biden issued an executive order Oct. 30 aimed at establishing standards for artificial intelligence, including providing improved safety and protections. It’s one of several AI-related regulations globally that SIA has seen, and its impact could be felt in staffing.
Biden’s order covers AI in the workplace and a wide range of other issues as well — from ensuring AI is trustworthy to requiring AI systems to share their safety test results with the government.
In terms of the workplace, Biden’s order acknowledged AI can offer improved productivity, but noted concerns over increased workplace surveillance, bias and job displacement. The order calls for developing best practices when it comes to AI and the workplace, and it calls for a report on AI’s potential labor market impacts.
Biden’s announcement is one of a number of AI-related regulatory changes that governments around the world are implementing or considering, said John Nurthen, executive director, global research, at SIA.
“The announcement highlights the risks that organizations face in using AI technology products,” Nurthen said. “While it may not be practical to have an algorithm auditor assess every product in the staffing firm tech stack, staffing firms should, at the very least, be pushing their technology vendors to provide reassurances that their products operate without any AI biases and checking their terms and conditions to understand what exposure they may potentially face in using these tools.”
Nurthen also said the focus on the impact of AI on the labor market is welcome, though multiple studies from numerous sources have already analyzed this topic in depth.
Right now, the order appears to be mainly a positive for staffing, Joseph Cole, VP of marketing and research at Glider AI, a provider of assessments and other services for the hiring process, told SIA.
“The pace at which AI evolves and growing use cases is incredibly profound,” Cole said in a statement to SIA. “Take social media, for example; it has changed all aspects of our lives, and we’re finally at a place where we have the data to understand the long-term impact. With social media, more transparency and accountability at the onset may have mitigated some of the negative consequences we see today.”
The executive order brings a proactive approach to AI, hopefully bringing transparency and accountability at the onset, he added.
“For talent acquisition, recruiting and staffing and HR professionals, AI is a new frontier that brings many unknown risks, so the executive order is mainly positive,” Cole said.
Also citing some positives for staffing in the executive order was Jason Heilman, senior VP or product, automation and AI at Bullhorn
“We were pleased to see that this executive order wasn’t exclusively focused on mitigating perceived risks of AI, but rather on putting standards in place to make AI safer for everyone,” Heilman said. “And while it does not appear that the executive order will slow down the pace of innovation or staffing firms’ ability to adopt new AI technologies, there are two key points that will be pivotal for providing a better, more trusted talent experience.”
The first is the establishment of standards for combating bias in the hiring process.
“Following the lead of legislation that has already happened locally in New York, this will have a positive effect toward ensuring that candidates nationwide have equitable opportunities when applying for jobs,” Heilman said.
“The second is the protection against personal information being used to train AI models,” he said. “Maintaining confidentiality and safeguarding the privacy of candidates who share these details through online hiring processes is of the utmost importance.”
SHRM, the organization for HR professionals in the US, said it’s looking forward to ongoing discussions on AI.
AI can create new economic, job creation and skill building opportunities for American workers, SHRM President and CEO Johnny Taylor Jr. said in a press release.
“SHRM appreciates the Biden Administration’s efforts to establish new standards for AI safety and security that advance equity and civil rights and promote innovation and competition,” Taylor said. “We look forward to the work ahead on achieving and implementing safe, secure and trustworthy AI applications.”
US Rep. Cathy McMorris Rodgers, R-Washington, said in a press release that she agrees with the need to protect Americans’ personal information while at the same time preserving innovation.
“We’re at a pivotal moment with AI, and unilateral, one-size-fits-all regulations will not alleviate every concern and may ultimately hamper innovation,” McMorris Rodgers said. “To address the challenges of AI and take advantage of the benefits, the administration needs to work with Republicans and Democrats in Congress to strike the right balance between encouraging entrepreneurship and ensuring robust protections for people’s data.”
AI has been a hot topic in the workforce ecosystem well before Oct. 30’s executive order was issued.
Recently, Ranjini Poddar, co-founder and CEO of staffing firm Artech, wrote a post in The Staffing Stream covering aspects of AI that will affect the industry in the immediate future.
