AI is reshaping workplace health and safety by predicting risks and improving organisational efficiency. However, it also raises concerns around employee privacy and mental health. We take a look at these challenges below, together with solutions for employers.
To mark the annual World Day for Safety and Health at Work on 28 April 2025, a technical conference was organised in Spain by the National Institute for Occupational Safety and Health in conjunction with the International Labour Organisation. It was entitled, 'Revolutionising health and safety: the role of AI and digitalisation at work', reflecting the growing importance of this subject for employers worldwide.
As part of the discussions, it was pointed out that the 'Fourth Industrial Revolution' (which describes the rapid technological advancement of the 21st century) is a double-edged sword. If used properly, technology can significantly increase workplace protection by anticipating accidents with preventive data. If poorly implemented, automated decisions may be made without the necessary protections for fundamental inpidual rights (such as privacy rights). This would be a clear step backwards, as well as causing greater problems than those that already exist.
In this article, we explore how new technology (including AI) is transforming occupational health and safety, the risks it introduces—particularly psychosocial ones—and what employers can do to strike the right balance between innovation and employee wellbeing.
Old frameworks in a new world
Until relatively recently, discussions on preventing occupational health and safety risks in the face of new technology have largely centred around digital platform work. However, there is a growing realisation and appreciation of the cross-cutting impact of digitalisation on all productive sectors.
But while countries look to regulate digital platform work and the health and safety risks that arise in that context, there are serious questions over the ability of existing frameworks to tackle these risks more broadly. In Spain for example, the key preventative legislation on workplace health and safety (the Law on Occupational Risk Prevention) has been in place now for thirty years. This undoubtedly needs to be reviewed in the near future in order to address and tackle the new occupational risks of today arising from AI, in particular and notably, psychosocial risks. In this context, and closely linked, is the importance of regulation taking into account respect for data privacy and how this should be handled reasonably by employers when using AI at work.
Algorithmic management: balancing efficiency with wellbeing
A key part of the technological revolution and the digitalisation of work is so-called 'algorithmic management'. This refers to the use of software, which may include AI, to coordinate labour. It has long underpinned the use of digital platforms, enabling them to define and assign work shifts, deliver instructions and assess worker performance. However, with the broader application of technology being recognised across sectors, it is important for employers to understand its implications for workforce dynamics, employee autonomy, and overall organisational efficiency.
Indeed, the use of algorithmic management in the workplace can be useful when it comes to health and safety – some might say essential – allowing for the storage of vast amounts of data that will then be processed by AI. Such information gathering allows automated decisions to be made that undoubtedly improve organisational efficiency and productivity. Examples of the uses and opportunities offered by these digital technologies include improved scheduling and task allocation, the optimisation of daily work, risk monitoring (especially regarding psychosocial risks) and data collection to identify problems and carry out risk assessments. So much so that there is an increasing number of technological applications that have a clear impact on the workplace. To cite a practical example, ENAiBLE measures how quickly workers complete various assigned tasks and suggests ways to speed them up. There is also Kronos' AIMEE that allows customer demand to be predicted based on weather forecasts, providing recommendations on how many workers should be assigned per shift and who should be selected for a specific task based on their skills and abilities.
Against these potential benefits are important risks that must also be considered. This is particularly true of roles characterised by manual, routine or repetitive tasks (e.g. transport, warehousing, call centres, finance, etc.) as they are the main focus of algorithmic management systems and therefore most vulnerable to the potential risks. These include issues such as frequent surveillance, reduced personal autonomy, increased pressure on performance evaluation and working hours, but also problems arising from a lack of transparency and privacy for employees and the protection of their data. This leads to more demanding situations, a heavier workload and, therefore, a greater likelihood of stress and mental health problems that might be more profound and complex than in a workplace without this technology.
Solutions for employers
So how can employers overcome this difficult balancing act when it comes to workplace digitalisation? In order to ensure the proper implementation of such systems, employers should do as follows:
- Consult and facilitate the participation of staff at all important phases to ensure they are aware of the proposed use of the technology.
- Ensure transparency regarding the collection and use of data and the reasons for doing so.
- Adopt an adequate occupational health and safety policy and prevention management system.
Underpinning these three recommendations is the principle of adopting a human-centred approach to the incorporation of such technology at work. This not only enables the rational and respectful use of the data collected, but also raises awareness among all those involved, whilst encouraging accountability and continuous improvement.
If this approach isn't followed, the likes of algorithmic management can give rise to serious risks of legal disputes resulting from heightened pressure at work. This could follow, for example, from an inevitable intensification of workloads, together with a corresponding reduction in the autonomy and confidence of employees. Perhaps even worse, workplaces may start to observe situations of 'techno-need' among staff, in which inpiduals feels highly insecure because of an over-reliance on technology to perform their tasks. This too could impact employee wellbeing, as well as productivity.
Takeaway for employers
These are just some of the challenges identified so far, with many more likely to emerge as workplace technology evolves – some of which may be difficult to foresee. What is clear today is that reducing psychosocial risks requires a proactive approach: integrating effective risk management, raising awareness, and actively involving employees in the process.
A growing number of digital applications are already being used, and with responsible data management, they hold real potential to help prevent workplace accidents – the ultimate goal in the area of occupational health and safety.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.