AI in HR: Legal Risks, Responsibilities and Compliance
Artificial intelligence is rapidly becoming part of everyday HR processes, from recruitment and candidate screening to employee management and decision-making. At the third HR Caffè organized by the Macedonian Human Resources Association this year, Isaevski Law had the opportunity to address these developments from a legal perspective. The discussion focused on how employers are increasingly using AI-powered tools in HR and why the adoption of such technologies should not be viewed solely as a matter of efficiency, but also as a matter of legal responsibility, transparency and compliance.
Particular attention was given to the use of automated systems in the recruitment and selection of candidates. AI tools can assist employers in reviewing applications, ranking candidates and identifying profiles that match predefined criteria. However, the use of automated decision-making also creates important legal and practical risks, particularly where an AI system may produce discriminatory outcomes, rely on inappropriate or biased data, or make decisions that cannot be adequately explained or challenged. Employers therefore need to understand not only what an AI tool can do, but also who remains responsible for decisions made with its assistance and what safeguards should be implemented when such technologies are introduced into HR processes.
A significant part of the presentation was dedicated to the EU AI Act and its relevance to AI systems used in employment and recruitment. The regulatory framework introduces specific obligations for certain AI systems used in the workplace and reflects a broader shift towards responsible and risk-based AI governance. For employers, this means that implementing AI in HR should go hand in hand with appropriate policies, risk assessments, human oversight, transparency measures and compliance procedures. The discussion at HR Caffè highlighted a key principle: AI can improve HR processes, but technological efficiency does not replace legal accountability. Employers that introduce AI into their HR functions should therefore consider legal compliance from the outset, rather than treating it as an issue to be addressed only after a problem arises.
