Ensure that your organization is staying up to date on AI-related regulations, especially at the state level.
Track developments from key agencies such as the EEOC, FTC, and NIST, which may release guidelines on ethical AI use, data privacy, and nondiscrimination.
The Executive Order
President Joe Biden’s executive order aimed to ensure that AI technologies are developed and used in ways that are safe, secure, and trustworthy. The EO was a comprehensive approach to responsible AI development that involved several key strategies. Robust evaluations were established to ensure AI systems were reliable and secure, with a focus on mitigating risks in biotechnology, cybersecurity, and critical infrastructure. Transparency and accountability were prioritized, holding developers responsible for their systems' impact. Collaboration among government, the private sector, academia, and civil society advanced responsible AI use, aiming to benefit society while minimizing risks.
However, this rescission was balanced with the announcement of Project Stargate, a major partnership among leading AI companies to grow artificial intelligence in the U.S. and build massive new data centers for OpenAI.
SHRM supported this executive order as it established new standards for AI safety and security that advanced equity and civil rights and promoted innovation and competition. As expected, this executive order was repealed on day one of the new Trump Administration. With the EO’s repeal, the NIST AI Safety Institute is in uncertain status; however, the workplace impact is lessened because much of the focus on “AI safety testing” involved national security issues and only the most sophisticated AI models.
Workplace Impact
SHRM supported this executive order as it established new standards for AI safety and security that advanced equity and civil rights and promoted innovation and competition. As expected, this executive order was repealed on Day 1 of the new Trump Administration. With the EO’s repeal, the NIST AI Safety Institute is in uncertain status; however, the workplace impact is lessened because much of the focus on “AI safety testing” involved national security issues and only the most sophisticated AI models.
Project Stargate will create more than 100,000 American jobs and Stargate will open a data center project in Texas and later expand to other states, which will result in a major boost to local economies. This could be an opportunity for governments, businesses, educational institutions, and other venues to provide valuable upskilling or reskilling to individuals who have been impacted by the evolving economy and serving as a solution for AI displacement in the local communities. It is great to see substantial investments in AI; however, SHRM continues to advocate for uniform federal regulations to ensure fair and equitable access to Stargate’s infrastructure and related services as well as robust investments in reskilling and job training programs.
Action Items for Employers
- Conduct a company-wide assessment to identify areas where AI and automation can improve efficiency while complementing human roles.
Prioritize the integration of AI tools that augment employee performance rather than replacing human jobs.
Involve key stakeholders, including HR, operations, and technology leaders, to create a roadmap for AI implementation that aligns with business goals and workforce development needs.
Evaluate current benefit offerings to address critical needs for upskilling and reskilling workers for the anticipated AI-driven changes. SHRM’s “2024 AI in the Workplace” research found that 83% of HR leaders identify upskilling as critical in today’s AI-driven economy, and 76% of U.S. workers emphasize the necessity of acquiring new skills.
Emphasize the demand for uniquely human skills like creativity, adaptability, and critical thinking when considering how AI and automation will fit into the workplace.
Communicate openly with employees about the organization’s AI integration strategy, emphasizing the benefits and opportunities it creates.
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