The feeling amongst employees that they are being monitoring by AI systems can lead to anxiety, depression and other forms of mental ill-health
The growing use of AI presents both opportunities and challenges for the workforce, and therefore, for HR managers. Although the use of AI has the potential to improve employee engagement and well-being, its very introduction has the potential to impact employee well-being negatively.While AI can boost productivity and efficiency, it’s also creating anxieties about job security and career prospects. Research highlights that employees’ awareness of AI’s potential impact can significantly affect their mental health, specifically increasing the risk of depression. This isn’t just a personal issue; employee depression can lead to decreased productivity, absenteeism, and lower morale, impacting the entire organisation.
In a 2024 study, Xu et al found that:
- The perceived threat of AI replacing jobs is a significant stressor for employees. HR needs to acknowledge and address this anxiety.
- How employees perceive the impact of AI on their careers influences their psychological well-being. The higher the perceived threat, the more negative the potential impact.
- Research shows that high AI awareness can lead to increased job insecurity, burnout, reduced career confidence, lower organizational loyalty, increased cynicism, and higher turnover intentions.
- The feeling that AI is threatening their career development and organisational status can lead to emotional exhaustion, which then increases the likelihood of depression. This is due to the fear of losing valuable “resources,” such as job security and career advancement.
- When employees feel supported by the organisation, it can buffer the negative effects of emotional exhaustion and reduce the risk of depression. Positive perceptions of organisational support can help compensate for the stress caused by AI awareness.
- Employee depression is not just a personal health concern; it directly impacts organizational performance. It’s our responsibility to proactively mitigate factors that contribute to depression.
The study reports that HR managers can mitigate the negative impacts by:
- Proactively communicating about the organisation’s AI strategy, its impact on jobs, and the reskilling/upskilling opportunities available.
- Investing in training programs that equip employees with the skills needed to work alongside AI. This reduces the threat perception and increases their sense of control.
- Strengthening employee assistance programs and mental health resources to address potential depression and anxiety related to AI.
- Facilitating a supportive work environment where employees feel valued and appreciated, regardless of AI implementation. Strengthen channels that improve the visibility of available organizational support for individual employees.
- Focusing on redesigning roles to leverage AI in ways that augment human capabilities, rather than simply replacing them.
- Regularly assessing employee attitudes and anxieties related to AI through surveys, focus groups, or one-on-one conversations.
- Educating managers on how to effectively communicate about AI and support their teams through the transition.
In 2024 Sadeghi published a study about the impact on employee well-being, job security, fairness and transparency of AI and its growing integration into HR processes . The study examines how AI shapes employee perceptions, job satisfaction, mental health, and retention.
Key findings from the study revealed that:
- while AI can enhance efficiency and reduce bias, it also raises concerns about job security, fairness, and privacy;
- transparency in AI systems emerges as a critical factor in fostering trust and positive employee attitudes; and
- AI systems can both support and undermine employee well-being, depending on how they are implemented and perceived.
The research introduces an AI- employee well-being Interaction Framework, to demonstrate how AI can influence employee perceptions, behaviours, and outcomes.
The author asserts that organisational strategies, such as clear communication, upskilling programs, and employee involvement in AI implementation, are crucial for mitigating negative impacts and enhancing positive outcomes.
The study concludes that the successful integration of AI in HRM requires a balanced approach that prioritises employee well-being, facilitates human-AI collaboration, and ensures ethical and transparent AI practices alongside technological advancement.
Further Reading
Sadeghi, S. (2024). Employee Well-being in the Age of AI: Perceptions, Concerns, Behaviors, and Outcomes. arXiv preprint arXiv:2412.04796.
Xu G, Xue M, Zhao J. The Association between Artificial Intelligence Awareness and Employee Depression: The Mediating Role of Emotional Exhaustion and the Moderating Role of Perceived Organizational Support. Int J Environ Res Public Health. 2023 Mar 15;20(6):5147. doi: 10.3390/ijerph20065147. PMID: 36982055; PMCID: PMC10049037.