FTC’s AI Crackdown: What HR Folks Need to Know

Hey there, HR Family!

Grab your coffee and settle in because we’ve got some juicy news from the tech world that might just impact your day-to-day.

So, you know how everyone and their grandma seems to be throwing around “AI” like it’s the hottest thing since sliced bread? Well, the Federal Trade Commission (FTC) is calling shenanigans on some companies that got a little too excited with their AI claims.

Here’s the scoop: On Wednesday, the FTC dropped the hammer on a bunch of businesses that were apparently playing fast and loose with the truth about their AI-powered services. They’re calling it “Operation AI Comply” (I know, it sounds like a straight-to-video action movie, right?).

Let’s break down what this means for us in the HR world:

1. The “Too Good to Be True” Digital Storefronts The FTC caught four companies promising the moon with AI-powered digital storefronts that never actually materialized. Lesson learned? When a vendor comes knocking with promises of AI revolutionizing your HR processes, maybe take it with a grain of salt.
2. Robot Lawyers? Not So Fast! There’s this company called DoNotPay that was offering AI legal services. Turns out, they didn’t really test if their chatbot could actually lawyer as well as, you know, a real lawyer. It’s a good reminder that when it comes to important stuff like employment law, maybe stick with the humans for now.
3. Fake Reviews: The AI Edition An AI writing company got busted for selling tools to create fake customer reviews. Yikes! It’s a wake-up call for all of us using AI in recruitment or employee feedback. Let’s keep it real, people!
4. No Get-Out-of-Jail-Free Card for AI FTC Chair Lina Khan laid down the law: just because you’re using AI doesn’t mean you get to ignore the rules. Fair’s fair, whether it’s a human or a robot calling the shots.

So, what does all this mean for us HR heroes?

1. Trust, but verify: When someone pitches you the latest and greatest AI tool for HR, ask for the receipts and get them to show you how it actually works.
2. Keep it ethical: Just because we can use AI for something doesn’t always mean we should. Think twice before letting algorithms make big decisions about people’s careers.
3. Honesty is the best policy: If you’re using AI in your HR processes, be upfront about it. Your employees and candidates will appreciate the transparency.
4. Humans are still awesome: Make sure there’s always a human in the loop when using AI tools. We’ve got that secret sauce called judgment that algorithms just can’t match.
5. Stay in the know: Keep your ear to the ground about AI regulations. It’s moving fast, and you don’t want to be caught off guard.

AI is cool and all, but at the end of the day, HR is about people. Let’s use these exciting new tools to enhance what we do, not replace the human touch that makes our work so important.

I can personally guarantee that Andere HR, HelpDesk for HR, HelpDesk Suites, and any other product or service we provide is transparent and honest. We have not removed and will not replace the “Human in the Loop” with artificial intelligence!

So, what do you think? Are you excited about AI in HR, or does all this make you want to return to paper resumes and in-person interviews? Drop a comment, and let’s chat!

Be Audit-Secure!

Lisa Smith, SPHR, SCP