Artificial Intelligence and Employment Law: Balancing Algorithmic Hiring, Workplace Surveillance, and Labor Rights

Abstract

The rapid integration of artificial intelligence (AI) into employment practices has reshaped traditional labor dynamics, presenting both opportunities and challenges for regulators, employers, and employees. Algorithmic hiring tools promise efficiency and objectivity, yet they risk embedding biases and undermining equal employment rights. Similarly, AI-driven workplace surveillance enhances productivity monitoring but raises concerns regarding privacy, autonomy, and trust. Labor rights frameworks, originally designed for human decision-making processes, and are increasingly strained in addressing these novel issues. This paper explores the intersection of AI and employment law, focusing on three core areas: algorithmic hiring, workplace surveillance, and labor rights protection. It examines the legal and ethical tensions surrounding discrimination, transparency, data protection, and collective bargaining in an AI-mediated workplace. By analyzing regulatory gaps and emerging global standards, the study highlights strategies for balancing innovation with fairness, including stronger accountability mechanisms, algorithmic audits, and rights-based approaches to AI governance. Ultimately, it argues that achieving equilibrium between technological progress and labor protections requires a proactive legal framework that ensures equity, privacy, and human dignity remains central in the evolving world of work.