{"id":29036,"date":"2026-01-02T13:08:15","date_gmt":"2026-01-02T12:08:15","guid":{"rendered":"https:\/\/www.delucapartners.it\/pillar\/labour-law-and-artificial-intelligence-risks-and-compliance\/"},"modified":"2026-03-10T16:32:17","modified_gmt":"2026-03-10T15:32:17","slug":"labour-law-and-artificial-intelligence-risks-and-compliance","status":"publish","type":"pillar","link":"https:\/\/www.delucapartners.it\/en\/pillar\/labour-law-and-artificial-intelligence-risks-and-compliance\/","title":{"rendered":"Labour\u00a0Law and Artificial Intelligence: Risks and Compliance (2025 Guide)"},"content":{"rendered":"\n<h2 class=\"wp-block-heading\"><strong><strong>Artificial intelligence and work: what it means for companies<\/strong>&nbsp;<\/strong><\/h2>\n\n\n\n<p>For companies, the application of artificial intelligence to the workplace&nbsp;represents&nbsp;a profound transformation of decision-making processes that directly affect individuals. AI does not merely automate operational tasks; it intervenes in personnel management, influencing recruitment, evaluation, work&nbsp;organisation&nbsp;and, at times, decisions with significant legal effects. This shift of decision-making power towards algorithmic tools requires a rethinking of work&nbsp;organisation&nbsp;not only from a technological perspective, but also from a legal one,&nbsp;taking into account&nbsp;the protections provided by&nbsp;labour&nbsp;law and data protection legislation.&nbsp;<\/p>\n\n\n\n\n\n\n<h2 class=\"wp-block-heading\"><\/h2>\n\n\n\n\n\n\n<p><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><strong>The definition: what AI applied to HR processes is<\/strong>&nbsp;<\/strong><\/h3>\n\n\n\n<p>AI applied to HR processes consists in the use of systems that&nbsp;analyse&nbsp;the personal data of candidates and employees&nbsp;in order to&nbsp;generate assessments, forecasts or recommendations that guide corporate decision-making. From a legal standpoint, these tools often fall within the concept of profiling and, in certain cases, automated decision-making. As a result, their use cannot be driven solely by efficiency&nbsp;considerations, but&nbsp;must be framed within a set of rules ensuring fairness,&nbsp;proportionality&nbsp;and respect for individual rights.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><strong>Practical examples: AI in recruitment, performance&nbsp;evaluation&nbsp;and shift scheduling<\/strong>&nbsp;<\/strong><\/h3>\n\n\n\n<p>In recruitment processes, AI is used to screen and rank candidates, often already at the&nbsp;early stages&nbsp;of hiring. In performance evaluation, it may support the analysis of quantitative and&nbsp;behavioural&nbsp;indicators, influencing assessments,&nbsp;bonuses&nbsp;or career paths. In shift scheduling, AI enables the&nbsp;optimisation&nbsp;of resources and workloads. In all these areas, algorithmic outputs are not neutral: they steer choices that produce concrete effects on the employment relationship and must therefore be legally sustainable.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><strong>Human decision-making vs automation: the principle of \u201chuman oversight\u201d<\/strong>&nbsp;<\/strong><\/h3>\n\n\n\n<p>The principle of human oversight&nbsp;represents&nbsp;a key element in the use of AI in employment contexts. European legislation requires that decisions producing legal effects or significantly affecting individuals must not be based exclusively on automated systems. This means that human intervention must be genuine,&nbsp;informed&nbsp;and capable of influencing the&nbsp;final outcome. From a legal perspective, human oversight is also the mechanism through which responsibility is attributed, decisions are reasoned, and their legitimacy can be defended&nbsp;in the event of&nbsp;disputes.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong><strong>The risks of AI: beyond \u201cjob losses\u201d<\/strong>&nbsp;<\/strong><\/h2>\n\n\n\n<p>Job losses are only one aspect of the broader debate. For companies, the most immediate risks concern exposure to legal liability and sanctions. The uncontrolled use of AI may undermine the lawfulness of decision-making processes, generate&nbsp;litigation&nbsp;and negatively affect corporate reputation. In this sense, AI is not merely a technological issue, but a legal risk factor that must be carefully managed.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><strong>From \u201cjobs at risk\u201d to \u201clegal risk\u201d: the real threats for companies<\/strong>&nbsp;<\/strong><\/h3>\n\n\n\n<p>The real risk for companies arises when AI is used without a prior assessment of its legal impacts. Opaque, non-explainable decisions or decisions based on improperly processed data can be easily&nbsp;challenged. Legal risk&nbsp;materialises&nbsp;when the company is unable to&nbsp;demonstrate&nbsp;that it has adopted a diligent and proportionate approach in the use of technology.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><strong>Risk no. 1: Algorithmic discrimination (bias in recruitment and evaluations)<\/strong>&nbsp;<\/strong><\/h3>\n\n\n\n<p>AI systems may reproduce or amplify biases present in training data, producing discriminatory effects even unintentionally. In the HR context, this risk is particularly significant as it affects access to employment, career&nbsp;progression&nbsp;and contractual conditions. From a legal standpoint, algorithmic discrimination may result in violations of anti-discrimination legislation, with significant consequences in terms of liability and litigation.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><strong>Risk no. 2: GDPR violations and employee privacy<\/strong>&nbsp;<\/strong><\/h3>\n\n\n\n<p>AI applied to HR processes involves complex and often large-scale processing of personal data. Where purposes are not clearly defined, legal bases are inadequate or information notices are&nbsp;insufficient,&nbsp;the risk of GDPR violations is high. In the employment context, the employee\u2019s position of subordination requires a particularly stringent level of protection, making a cautious and structured approach indispensable.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><strong>Risk no. 3: Automated decisions and sensitive areas (sanctions, Article 9 data)<\/strong>&nbsp;<\/strong><\/h3>\n\n\n\n<p>The use of AI in decisions that significantly affect the employee\u2019s position, such as disciplinary sanctions or decisive individual assessments, raises serious concerns. In such cases, automation is hardly compatible with the principles of proportionality and fairness that&nbsp;characterise&nbsp;labour&nbsp;law.&nbsp;human&nbsp;intervention must be substantive and documented&nbsp;in order to&nbsp;ensure the lawfulness of the decision.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong><strong>How to use artificial intelligence in a compliant manner: 7 legal tips<\/strong>&nbsp;<\/strong><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\">1.<strong>Audit and impact assessment (DPIA) with the DPO<\/strong><\/h3>\n\n\n\n<p>When AI enters HR processes, the first question is not \u201cwhat can it do\u201d,&nbsp;but \u201cwhat impact does it have on people\u2019s rights\u201d.&nbsp;Because recruitment, evaluation and work&nbsp;organisation&nbsp;directly affect the employee\u2019s professional sphere,&nbsp;a DPIA&nbsp;often becomes the most prudent step (and, in many cases, a necessary one) to&nbsp;demonstrate&nbsp;that the company has assessed risks, mitigation measures and less intrusive alternatives ex ante.&nbsp;<\/p>\n\n\n\n<p>The involvement of the DPO is essential not only for GDPR compliance, but also because it allows the correct structuring of assumptions, legal bases, data&nbsp;retention&nbsp;and security measures, avoiding the emergence of critical issues only once disputes or inspections arise.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>2. Process mapping and documentation (AI processing records)<\/strong>&nbsp;<\/h3>\n\n\n\n<p>Mapping processes means&nbsp;identifying&nbsp;where AI intervenes, which data it uses, which outputs it produces&nbsp;and, above all, how&nbsp;those outputs are used in HR decisions. Documentation (including through a dedicated internal register of AI processing activities) serves to&nbsp;demonstrate&nbsp;accountability and to make decisions defensible: in inspections or court proceedings, the typical question is whether the company&nbsp;is able to&nbsp;explain the logic, purposes and safeguards adopted.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>3. Policies and information notices for employees and trade unions<\/strong>&nbsp;<\/h3>\n\n\n\n<p>The use of AI in the employment context requires transparency, not only as a regulatory obligation but also as a means of reducing the risk of conflict. Internal policies clarify rules of use, limits,&nbsp;responsibilities&nbsp;and prohibitions (for example, which data must not be entered into AI&nbsp;tools&nbsp;and which&nbsp;decisions may not be automated). Privacy notices, in turn, must explain in a clear and understandable manner the purposes of processing, data categories, general&nbsp;logic&nbsp;and&nbsp;impacts&nbsp;on workers. Where technology affects the&nbsp;organisation&nbsp;of work, the proper management of industrial relations and information\/consultation obligations also becomes a factor of stability:&nbsp;timely&nbsp;and effective communication prevents AI from being perceived as an opaque tool of control.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>4. Governance: an internal committee (HR, IT, Legal, DPO)<\/strong>&nbsp;<\/h3>\n\n\n\n<p>The most common mistake is treating AI as an IT project.&nbsp;In reality, within&nbsp;HR processes AI is a governance issue, as it combines decisions about people, data&nbsp;processing&nbsp;and work&nbsp;organisation. An internal committee involving HR, IT, the legal&nbsp;function&nbsp;and the DPO makes it possible to manage the entire lifecycle of the system: tool&nbsp;selection, risk assessment, definition of permitted use cases, periodic controls, incident&nbsp;management&nbsp;and updates. From a legal perspective, such governance is also the most effective way to&nbsp;allocate&nbsp;responsibility and&nbsp;demonstrate&nbsp;organisational&nbsp;diligence.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>5. Management training for \u201ceffective\u201d human oversight<\/strong>&nbsp;<\/h3>\n\n\n\n<p>Human oversight is not a mere sign-off. To be \u201ceffective\u201d,&nbsp;decision-makers must be able to understand what they are&nbsp;validating: which variables the system has considered, what its known limitations are, and when the output is unreliable or potentially biased. Management training is precisely aimed at preventing the drift towards psychological automation, namely the tendency to trust the algorithm because it appears \u201cobjective\u201d.&nbsp;In the employment context, this is a crucial issue, since decisions on performance, shifts or recruitment must remain&nbsp;contextualised&nbsp;and proportionate, which requires at least a basic ability to critically interpret algorithmic outputs.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>6. Explainability and traceability of decisions<\/strong>&nbsp;<\/h3>\n\n\n\n<p>In HR, it is not sufficient for a decision to be \u201ccorrect\u201d: it must also be capable of being justified and reconstructed. Explainability concerns the ability to understand, at least at a general level, the logic that led to a given output; traceability concerns the ability to document who consulted the system, which data were used, which output was generated and how it was used in the final decision. These elements are essential for handling employee requests, complaints,&nbsp;inspections&nbsp;and litigation. In practice, explainability and traceability transform the use of AI from an \u201cact of faith\u201d into a controllable and defensible process.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><strong>7. Contractual alignment with AI providers<\/strong>&nbsp;<\/strong><\/h3>\n\n\n\n<p>The contract with the vendor is often the point where compliance fails, because a \u201cturnkey\u201d solution is accepted without requiring adequate safeguards. In an HR context, it is essential to regulate in detail aspects such as privacy roles (controller\/processor), security measures, data&nbsp;localisation&nbsp;and access, system logic, support for DPIAs, audit rights, incident&nbsp;management&nbsp;and liability&nbsp;in the event of&nbsp;errors or bias. From a legal standpoint, a well-structured contract is also a&nbsp;risk&nbsp;governance tool: if the vendor does not ensure transparency and controllability, the company&nbsp;remains&nbsp;exposed, even where a solution is formally compliant on paper.&nbsp;<\/p>\n\n\n\n<p><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong><strong>Frequently Asked Questions (FAQ)<\/strong>&nbsp;<\/strong><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><strong>Can I use ChatGPT to evaluate employees?<\/strong>&nbsp;<\/strong><\/h3>\n\n\n\n<p>Tools such as ChatGPT may be used as operational support, for&nbsp;example for&nbsp;analysis or&nbsp;summarisation&nbsp;activities, but they cannot&nbsp;constitute&nbsp;the sole basis for individual evaluations. Where the output affects the employment relationship, it is necessary to ensure effective human oversight and a decision-making structure capable of justifying and defending the choices adopted.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><strong>Can artificial intelligence decide on a disciplinary sanction?<\/strong>&nbsp;<\/strong><\/h3>\n\n\n\n<p>A disciplinary sanction cannot be the direct result of an automated decision. Even where AI supports the collection or analysis of information, the final assessment must remain human and must&nbsp;take into account&nbsp;the context and the specific circumstances of the case, in compliance with the fundamental principles of&nbsp;labour&nbsp;law.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><strong>What should be included in the privacy notice&nbsp;regarding&nbsp;the use of AI?<\/strong>&nbsp;<\/strong><\/h3>\n\n\n\n<p>The privacy notice must clearly&nbsp;indicate&nbsp;whether and how AI systems are used, explaining the purposes, the general logic of&nbsp;operation&nbsp;and the consequences for workers. Transparent communication helps reduce the risk of disputes and&nbsp;demonstrates&nbsp;the adoption of a correct and responsible approach.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><strong>Who is liable if AI makes an error or&nbsp;discriminates?<\/strong>&nbsp;<\/strong><\/h3>\n\n\n\n<p>Liability&nbsp;remains&nbsp;with the company using the system. Even where the AI is provided by third parties, the employer&nbsp;is responsible for&nbsp;the decisions taken and their effects. This makes careful management of relationships with vendors and a clear allocation of internal responsibilities essential.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Case law and insights<\/strong><\/h2>\n\n\n\n<a href=\"https:\/\/www.delucapartners.it\/en\/insights\/artificial-intelligence-in-the-workplace\/\" target=\"_blank\" rel=\"noopener noreferrer\">Artificial Intelligence in the workplace: Guidelines for HR and managers on the use of AI Systems in employment contexts (Econopoly of Il Sole 24 Ore, 27 August 2025 \u2013 Martina De Angeli, Alesia Hima)<\/a>\n<br><br>\n<a href=\"https:\/\/www.delucapartners.it\/en\/insights\/publications-en\/artificial-intelligence\/\" target=\"_blank\" rel=\"noopener noreferrer\">Artificial Intelligence in the Workplace: Opportunities and Risks to Know<\/a>\n<br><br>\n<a href=\"https:\/\/www.delucapartners.it\/en\/news\/pubblicazioni-2\/how-to-manage-ai-in-business-a-guide-for-companies-management\/\" target=\"_blank\" rel=\"noopener noreferrer\">How to manage AI in business: a guide for companies\u2019 management (Agenda Digitale \u2013 4 April 2025, Martina De Angeli)<\/a>\n<br><br>\n<a href=\"https:\/\/www.delucapartners.it\/en\/insights\/pubblicazioni\/artificial-intelligence-and-human-resources-what-challenges-should-an-hr-manager-prepare-for\/\" target=\"_blank\" rel=\"noopener noreferrer\">Artificial Intelligence and Human Resources: what challenges should an HR Manager prepare for? (AIDP, 27 March 2024 \u2013 Stefania Raviele, Martina De Angeli) <\/a>\n<br><br>\n<a href=\"https:\/\/www.delucapartners.it\/en\/insights\/employers-are-required-to-inform-workers-about-the-use-of-artificial-intelligence\/\" target=\"_blank\" rel=\"noopener noreferrer\">Did you know that since Friday, October 10, employers are required to inform workers about the use of artificial intelligence in employment relationships? <\/a>\n","protected":false},"featured_media":29037,"menu_order":0,"template":"","meta":{"_acf_changed":false,"footnotes":""},"categories":[177,196,158,208],"tags":[1011,2131],"class_list":["post-29036","pillar","type-pillar","status-publish","has-post-thumbnail","hentry","category-insights","category-news","category-publications-2","category-publications","tag-compliance-en","tag-intelligenza-artificiale-en"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Labour\u00a0Law and Artificial Intelligence: Risks and Compliance (2025 Guide) - De Luca &amp; Partners<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.delucapartners.it\/en\/wp-json\/wp\/v2\/pillar\/29036\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Labour\u00a0Law and Artificial Intelligence: Risks and Compliance (2025 Guide) - De Luca &amp; Partners\" \/>\n<meta property=\"og:description\" content=\"Artificial intelligence and work: what it means for companies&nbsp; For companies, the application of artificial intelligence to the workplace&nbsp;represents&nbsp;a profound transformation of decision-making processes that directly affect individuals. 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