13 May 2025
IFOW's probing amendments to the Employment Rights Bill, tabled by Lord Tim Clement-Jones, concern the definition of an AI system within the context of employment rights (148), workplace AI risk and impact assessments (149), and the need for employers to consult with employees and unions before implementing AI systems (150).
Published here, the amendments state:
(148) After Clause 34, insert the following new Clause—
“Definition of AI System
(1) For the purposes of this Act, “AI System” means an engineered or machine-based system that, for explicit or implicit objectives, infers, from the input it receives, how to generate outputs such as content, predictions, forecasts, recommendations, or decisions influencing real or virtual environments.
(2) AI systems may operate with varying degrees of autonomy and include use of algorithmic techniques such as natural language processing, large language models, multi-modal models, machine learning, speech or image recognition, neural networks, deep learning, or decision trees.”
Member's explanatory statement: This amendment clarifies the definition of an AI System within the context of employment rights as an engineered system generating outputs from inputs using algorithmic techniques.
(149) After Clause 34, insert the following new Clause—
“Workplace AI risk and impact assessments
(1) Before implementing or developing an AI system which may have significant risks or impacts on employment rights and conditions in the workplace, an employer must conduct a workplace AI risk and impact assessment (a “WAIRIA”)
(2) A WAIRIA must be conducted under this section if there is a potential significant risk or impact on—
(a) the identification or exercise of rights;
(b) work access or allocation;
(c) remuneration or benefits;
(d) contractual status, terms or conditions;
(e) mental, physical or psychosocial health.
(3) A WAIRIA conducted under subsection (1) must—
(a) document the intended purpose and functionality of the AI system;
(b) establish a process for undertaking the monitoring of significant risks and impacts;
(c) document the definitions, metrics and methods selected for the WAIRIA;
(d) make provision for the consultation with the individuals, groups and authorised representatives who are likely to be affected in by an AI system;
(e) assess the significant risks and impacts likely to be produced because of the deployment or development;
(f) identify the mitigations, adjustments, training or other measures made in response to the WAIRIA.
(4) Employers must review and update the WAIRIA—
(a) at least once every 12 months,
(b) whenever substantial changes are made to the AI system to which it relates,
or
(c) when evidence emerges of unforeseen significant risks or impacts.
(5) The Secretary of State must require any Fair Work Agency to issue guidance on the conduct disclosure and enforcement of WAIRIAs within 6 months of this section coming into force.”
Member's explanatory statement: This amendment introduces a requirement for employers to conduct Workplace AI Risk Assessments (WAIRIAs) to document and mitigate the potential risks and impacts of AI systems on employment rights and conditions before deployment, including consultation and regular review.
(150) After Clause 34, insert the following new Clause—
“Consultation on AI Systems
(1) An employer must consult with employees and, where present, trade union representatives at least one month before implementing an AI system which may have significant risks or impacts on employment rights and conditions in the workplace and falls within section (Definition of AI system).
(2) The consultation must include consideration of—
(a) the intended purpose and functioning of the relevant AI system,
(b) any significant risks and impacts likely to be produced,
(c) the process for ongoing monitoring of significant risks and impacts in the workplace,
(d) the provision of information relevant to ongoing monitoring of significant risks and impacts in the workplace, and
(e) any training provided to employees, managers and staff who are affected or otherwise involved in deployment, operation or interpretation of the relevant AI system.”
Member's explanatory statement: This amendment places a duty on employers to consult with employees and unions at least one month before implementing AI systems that may have significant risks or impacts on employment rights and conditions in the workplace.