Artificial intelligence can increase efficiencies within a business by automating recruitment processes, analyzing patterns among the workforce, and streamlining administrative duties. However, implementing such technology and new systems present new concerns regarding the privacy and security of employee records. Information regarding compensation, contact details, and personnel and performance evaluations constitute the personal information of employees, and businesses have a duty to protect such details during integration of new technology.
Assess Data Access Requirements
Before incorporating any form of artificial intelligence, a company should identify the information that the technology needs to fulfill its purpose. Recruitment software, for instance, can be programmed to request details on a candidate’s qualifications and experience. Workforce planning tools, on the other hand, may require details on staffing levels and historical figures on workforce levels. Limiting the scope of information that the technology accesses can limit the damage in cases of data breaches. Similarly, a business must identify any unnecessary records that may be accessed by personnel or applications and limit their availability.
This assessment includes exploring the current data exchange between existing systems and human resource management systems. A company may use multiple applications to support different functions, such as payroll and performance management, and a third-party program for recruitment functions. Where possible, information exchange ports should be limited to reduce the risk of acquiring unauthorized access. An information technology expert must assess the entire network infrastructure to identify the weaknesses that a company can address before incorporating any form of artificial intelligence tools.
Apply Strong Security Controls
A business must ensure that employees’ personal information is encrypted using strong security algorithms whenever the data is transmitted between databases. Similarly, the software and associated applications should use powerful security protocols to protect the data. Where possible, companies should also limit access to authorization tools and consider multifactor authentication options designed for administrative IT accounts. Strong security control measures are critical when the application being incorporated has to interface with multiple programs or subcontracting third-party networks and servers.
A company must limit user access to personal information using the principle of least privilege. Every application and employee should only have access to information that they can use. For instance, while IT managers and system administrators may have access to the contents of every file, other HR units might only reach specific employee assessments. Businesses should always review and limit access privileges to reduce vulnerabilities and address permission creep. When designing or configuring software systems, information technologists should install strong auditing tools and ensure appropriate auditing levels at specific user levels to guarantee the security of employees’ personal information.
Minimize Data Shared With AI Tools
An organization must minimize the amount of personal information accessible to any AI-powered tools. As much as a company might be required to authorize multiple applications on its network, transmitting all employees’ details to such programs increases the risk of a security breach. Whenever possible, businesses should limit data access and minimize identifiers within a database to reduce vulnerabilities. Companies should also request that the provider anonymize and de-identify records by using tokenization where possible.
When personal information is essential, businesses should negotiate ways in which such data can be masked to reduce risks. Ideally, the AI-powered application should deal with aggregated data to reduce the implication of a data breach. When using tools that require individual employee file access, companies should minimize the number of identifiable details such as demographic information, address, and contact details. This approach would limit damage in case of cyberattacks or other security challenges affecting the system. Employees’ personal information can similarly be protected through standardization, reducing opportunities for attackers to extract vital details.
Organizations should carefully consider whether to allow the software provider to utilize, archive, or share the data for other purposes unless appropriate technical controls and contract restrictions negate such risks. Businesses should carefully review any contracts that apply to AI tools to ensure they limit third-party access to the information. Where necessary, companies should restrict employee data access to specific tools and limit vulnerabilities within application programming interfaces to prevent unauthorized system access.
Address Vendors’ Standards and Legal Compliance
Beyond the financial considerations when choosing a HRIS software provider, businesses should carefully consider factors such as experience, response plans, and data retention settings of potential firms to guarantee employee personal information security. Vendors should be bound by strict contractual obligations to guarantee privacy and remain accountable in case of defaults. Companies should similarly request that the selected vendor provides relevant documentation addressing the responsibilities of both the subcontractors and the main organization.
Firms should note the various legal restrictions regarding the use, encryption, and retention of personal information and ensure that the software can meet those requirements. In Canada, there are multiple laws regarding the accessibility, encryption, and retention of records, including the related provincial statutes and the Personal Information Protection Act and Privacy Act. Employees’ personal information should be protected according to the country and province in which a business operates.
Depending on a company and the employees’ activities, the organization may need to perform a privacy impact assessment for the AI application. The legal and privacy team should engage experts to analyze employee information and evaluate how the project scope can affect personal data, both locally and internationally. Contractual agreements should include limitations and legal obligations when transmitting individual details between databases and applications, including the provision of consent where applicable.
Continuously Monitor Systems and Educate Employees
Security auditing is a continuous process, and companies must monitor AI programs and user behavior constantly. Organizations must periodically review the data analytics features, system design, application code, and system administration functions and make modifications where necessary. An enterprise should also constantly watch out for suspected violations of personal information security regulations and respond promptly. Businesses can also develop a monitoring system to detect and identify unusual network access and ensure authorization before granting access. Having a documented and tested incident response protocol is also crucial, since it will guide a firm in responding to any unauthorized access to sensitive data. Ideally, the response should aim to limit damage and loss of data, contain the breach, and notify the relevant stakeholders within the shortest time.
A company should consider educating employees about the dangers of unauthorized access to personal information and emphasize the importance of cybersecurity awareness. Employees handling AI-powered tools should also understand the limitations and acceptable use of such programs and the risks associated with entering unauthorized information into the systems. Organizations should develop standardized procedures and ensure every employee in the relevant units can adhere to new instructions and answer any questions regarding the security of data.
Conclusion
Protecting employees’ information in the course of integrating artificial intelligence capabilities presents various challenges to businesses and other organizations. To mitigate the risks involved, they should consider such measures as restricting access to data, encrypting electronic information, evaluating outsourcing opportunities, auditing activities, and educating employees. This way, the companies will be able to shape the most viable protective framework and be safe in terms of legal compliance, data privacy, and overall security.
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