It’s described as the first express regulation on the technology
Employers could face tough new tests for using artificial intelligence (AI) in the workplace, under proposed new legislation in New South Wales.
Described as Australia’s first explicit regulation on AI, the proposed changes to Work Health and Safety laws were added to a list of reforms planned by the Minns Labor government.
Under the suggested occupational health and safety amendments to the Workers' Compensation (Reform and Modernisation) Bill, employers would be required to ensure that AI systems do not result in metrics used to assess or track performance in a manner deemed “unreasonable,” involve “excessive” surveillance at work, create “unreasonable workloads,” or lead to “discriminatory decision-making.”
Union concerns with changes to regulation
A new duty would specifically focus on digital work systems used for a broad range of purposes in workplaces, according to the Australian Industry Group (Ai Group). However, it described the move as “heavy-handed.”
While AI and technological advancements are creating significant opportunities and potential productivity improvements, the group says the proposed legislation will “stifle innovation and industry efforts to improve productivity” during a period of “persistently low productivity levels.”
“The proposed changes are entirely unnecessary, and the unclear obligations they would impose on industry will undoubtedly be a catalyst for workplace disputation,” said Helen Waldron, Ai Group Head of New South Wales.
“It comes at a time when Safe Work Australia has been tasked with undertaking a best practice review, focusing on how we can ensure harmonisation of WHS laws into the future. These amendments would instead take NSW on a more divergent path than is already in place,” Waldron continued.
AI regulation and targeted use cases
The ACTU has called for tougher regulations around the roll-out of artificial intelligence in the workplace ahead of the Federal Government's economic roundtable later his month.
It says it wants new mandatory enforceable agreements that would compel employers to consult with staff before new AI technologies was introduced into workplaces, including guarantees around job security and transparency and protections around use of AI.
“The last thing industry needs is to be saddled with a patchwork of inconsistent state and federal legislation that this Bill would create,” Waldron said.
“The Bill will regulate various matters that are best dealt with through our comprehensive and carefully developed national workplace relations laws. These changes will have significant impacts both now and in the future. If pressed, the changes must be carefully considered and not pushed through Parliament.”
It is understood the changes were included in broader amendments to employee compensation but were not directly referenced, despite claims that the Business Council of Australia had been notified and agreed to the terms.
BCA chief executive Bran Black said they were not consulted on the recent proposals—and do not support them—because of the increased powers given to unions.
HRD has contacted the NSW Government for comment but has not yet received a response.
