AI use moves to 'daily HR work' as governance plays catch up, report finds

New data shows many organisations still at 'early stages of AI governance maturity'

AI use moves to 'daily HR work' as governance plays catch up, report finds

The use of artificial intelligence tools has progressed to "daily HR work," according to a new report, which warned about the risks of uneven governance maturity when it comes to AI in the workplace.

Findings from Traliant's latest report revealed the widespread adoption of AI tools in the HR function, with 62% of HR teams now using AI regularly.

Another 21% said the technology is built directly into their core workflows, while just 10% remain in the pilot or testing stage.

"AI moves beyond testing and into daily HR work," the report read.

Among the top use cases of AI tools is HR-driven compliance or policy work, as cited by 65% of HR teams. It is also used in:

  • Administrative tasks (58%)
  • Recruiting and hiring (55%)
  • Data analysis and decision-making (47%)
  • Customer interactions (37%)
  • Content generation (36%)

"AI has quickly become an essential part of how organisations operate, particularly within HR, where it's increasingly influencing high-impact decisions around hiring, compliance, and employee experience," said Casey Heck, Chief People Officer at Traliant.

Uneven AI governance maturity

The emerging challenge, however, is the uneven governance maturity in organisations when it comes to AI adoption.

According to the findings, only 39% of HR teams said they have a formal review process in place to evaluate AI-generated outputs for various issues, such as bias, accuracy, and legal risk.

The remaining 61% rely on informal reviews or lack a formal oversight process altogether.

"As AI becomes more deeply embedded in HR operations, relying on informal reviews or lacking a formal oversight process can increase exposure to compliance, discrimination and reputational risks," the report read.

More than half (51%) of HR teams, however, said they already have clear guidelines on appropriate and inappropriate use of AI, as well as training for employees on responsible or compliant AI use.

More than four in 10 HR teams also noted they have ongoing monitoring or review of how AI is being used (46%), a formal policy outlining how employees can use AI tools (43%), and a process to review or approve AI tools before they are used (42%).

"The findings suggest many organisations are still in the early stages of AI governance maturity," the report read.

"This gap suggests that while many organisations have introduced foundational AI policies, fewer have translated those policies into scalable governance processes."

What should HR teams do?

The report warned that the gap between rapid AI adoption and governance readiness may become more difficult to manage.

David Ashman, Chief Product and Technology Officer at Traliant, said organisations need formal processes for AI use as they further adopt the technology.

"Governance can't be an afterthought once AI is embedded in everyday flows," Ashman said.

HR teams to build a foundation for AI use that is grounded in effective and clear communication, regular training, and thorough oversight of tools that employees use, according to the report.

"As AI use spreads end-to-end in businesses, the HR function needs to ensure those tools are being used ethically and responsibly. That means delivering training and clearly defined rules for everyone in an organisation," the report read.

"On top of that, HR professionals also need to answer a growing set of regulatory requirements that, if not adhered to, open businesses up to a new world of legal risks."

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