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3 Critical Issues Affecting AI in HR | 2-Minute Video

Michele McGovern
By: Michele McGovern
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About the Author

Michele McGovern writes. A lot. These days, she covers HR, digging deep into company culture, DEI, leadership, management and the everchanging world of work. In the years between getting a BA in journalism from a state school and writing about HR, she wrote about big-city crime for a wire service and small-town life for local newspapers. She’s a mediocre mom, decent wife, wannabe athlete and consummate pursuer of fun - on land, snow and water. Find her on LinkedIn @michele-mcgovern-writer.

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Last Updated: September 16, 2025
3 minute engagement

You likely plan to use AI in HR. And there’s a good chance you’re excited and leary all at the same time, considering the most critical issues affecting AI in HR.

That’s reasonable because Artificial Intelligence opens up many opportunities to streamline work and enhance productivity, giving all HR pros more time to spend on important human tasks.

In the same breath, we can’t overlook the most critical issues affecting AI in HR — privacy, piracy, hallucinations and beyond. The opportunities and benefits could quickly be erased with a data breach or bad information — and all the time saved using AI will be lost in the time it takes to clean up the mess.

Issues Affecting AI in HR

Fortunately, in this episode of HRMorning’s 3-Point, we talk with a privacy attorney and AI expert, who shows us how to manage the critical issues to AI in HR — from working with your vendor early and often to teaching employees safe AI use principles.

Click, watch and listen for more details on how to implement AI in HR and maintain safe use in your workplace.

Transcript (edited for clarity):

We know you’re going to use AI this year.

How’s that? A Paychex survey found 98% of HR leaders plan to use some sort of Artificial Intelligence to solve problems in 2024. But their top challenge with it will be risk management.

Fortunately, we have tips from a privacy attorney and AI expert on how you can use AI as safely as possible.

ADP’s Jason Albert says it starts with the vendor relationship.

Albert: What you want to make sure is that the vendors really thought through these issues.

  • How do they protect data?
  • How do they make sure that it’s not just enough that the tool performs?
  • How do they protect the personal information?
  • What information do they share?
  • Do they tokenize it so that the actual name and identifying information isn’t shared?
  • How do they structure the tool to focus on the elements that really are important, such as whether a person has a degree, not necessarily where they got the degree from.

There’s a lot you’re going to want to do as an HR professional to really investigate how the vendors constructed their tools.

And then it comes back to the people using AI.

Albert: So every year, you know, it provides a nice opportunity to do some training around it, to have, you know, fun events around it and just to really, you know, to make sure that there’s an opportunity where that’s an area of focus and look, it doesn’t have to be anything complex, right? You know, I think what you really think about is like, what do you want people to know? What is personal data, right? Because it may not be intuitive, like we all know our name or social security number, but really personal data encompasses any information that can be tied to a person.

Finally, It’s about control.

Albert: It all goes back to, we were talking about earlier, the state of only sharing with these AI tools and systems the personal information they need to do their jobs and, you know, there are various techniques, privacy enhancing techniques, to be able to do that.

So to recap what’s important with AI security, you want to:

  • Work with your vendor. Be certain they secure your employee data before you share the data.
  • Train your people. Whether they handle personal data or not, make sure everyone knows what it is and the importance of privacy.
  • Be careful of what you search. Your searches can turn into data that AI uses – and you never want to compromise employees’ data.

We’ll all use AI more going forward. Let’s keep it safe.

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