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Federal Wage Hour Watchdog Weighs in on Employers’ AI Use

Wage & Hour Developments

Federal Wage Hour Watchdog Weighs in on Employers’ AI Use

Labor & Employment, people in an office setting

Employers are increasingly using artificial intelligence (AI)-powered systems to monitor employee activities ranging from schedules and timecards to performance. In previous updates and podcasts, we have closely tracked the federal government's efforts in these areas. Against this backdrop, the U.S. Department of Labor's (DOL) Wage and Hour Division released a Field Assistance Bulletin addressing compliance risks posed by the use of AI under the Fair Labor Standards Act (FLSA) and other federal labor standards. This guidance makes it clear that employers remain responsible for compliance with federal laws when adopting AI or other automated systems in the workplace. The bulletin cautions against heavy reliance on AI systems, saying a lack of human eyes could create a domino effect and lead to violations of federal wage and leave laws.

Read the full Update here.

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Wage & Hour Developments

The regulatory landscape, appetite for administrative agency enforcement, and judicial interpretations related to wage-and-hour issues are rapidly evolving. Our blog is a one-stop resource for federal- and state-level updates and analysis on wage-and-hour-related developments affecting employers.

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