Artificial Intelligence (AI) is increasingly being incorporated into Human
Resource Management (HRM), which brings complex ethical and governing issues.
This research paper addresses moral and legal problems by methodically investigating
Artificial Intelligence's legal and ethical implications in HRM for an effective business.
The study addresses the ethical aspects, including bias, justice, accountability,
transparency, and the confidentiality and security of worker information. The legal
roots are examined, covering information fortification strategies such as the General
Data Protection Regulation and anti-discrimination regulations. The Personal Data
Protection Bill and the Equal Remuneration Act are two Indian laws discussed in the
paper, and their implications for AI in HRM are explored. The major aspects
considered in the paper are lawful strategies that signify discrimination in AI-driven
HR. The study employed a methodical approach, examining current legal systems and
literature.
The main findings include the necessity of model interpretability, the use of fair
machine learning algorithms, open communication with employees, and informed
consent for sensitive employee data. The study emphasizes the importance of using AI
responsibly to uphold human rights that are fair, open, and respectful of individual
liberty. The results inform the conversation about AI ethics and legal compliance,
directing the responsible application of AI in HR.
Keywords: AI in human resource management, Artificial intelligence and HRM, Compliance, Ethics, GDPR, Handling bias, Information privacy and transparency, Law, Sustainability.
