Employers are increasingly deploying AI tools to streamline key HR functions, from resume screening to performance management and other workforce functions. In 2026, these tools are no longer experimental; some companies are embedding them in core HR functions. At the same time, lawmakers, regulators, and plaintiffs’ attorneys are rapidly escalating scrutiny of employers’ use of AI, looking for ways to regulate and pursue claims related to these tools. With the growing patchwork of AI laws and risks, employers need to understand how best to navigate the emerging compliance challenges and legal risks when using AI tools in their workforce.
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