International Bar Association shares report on regulatory trends in human resources law

Use of AI in work is becoming more widespread, Global Employment Institute research reveals

International Bar Association shares report on regulatory trends in human resources law

The International Bar Association’s (IBA) Global Employment Institute (GEI) has announced the release of its 13th annual global report on regulatory trends in human resources law, which addressed evolving workplace dynamics and technological advancements. 

The annual report tackled recent developments in the work landscape, key shifts in the global labour market in the last two years, a continued focus on a robust economy and economic interests, and other significant employment law issues, according to a news release from the IBA. 

The GEI’s report showed that the use of artificial intelligence (AI) has become more widespread in terms of efforts to improve efficiency, personalisation, and decision-making. 

“This year's report highlights how AI is further reshaping workplaces, improving efficiency and decision-making, while also introducing challenges like job displacement and ethical concerns,” said Björn Otto – a partner at the international law firm CMS, based in Cologne, Germany – in the news release. 

The institute’s study also revealed shifts in alternative work arrangements, demonstrating diverse cultural, economic, and organisational priorities. The research noted a trend of returning to offices compared with the findings of the preceding annual report. 

The report also discussed the relevant global societal conflicts, including the Russia-Ukraine war and the Israel-Palestine conflict. According to the IBA’s news release, these worldwide concerns have affected: 

  • labour markets 
  • employees, especially those with connections to the regions impacted, who are undergoing psychological and emotional stress 
  • workforces, with tensions arising from differing opinions in workplaces 
  • the flow of migration, with many individuals fleeing their homeland 

“Recent geopolitical events have a profound impact on workplace policies not just in the United States, but all across the globe,” said Todd A. Solomon – a partner based in Chicago, US at the global law firm McDermott Will & Emery – in the news release. 

The research also highlighted a rise in absenteeism rooted in stress and mental health issues. The report shared that employers have been taking measures to improve employee wellbeing and address the potential effects on workplace culture and efficiency. Initiatives include psychological support, mental health leave, flexible work arrangements, and additional paid leave. 

However, the report noted that numerous countries surveyed are still lagging behind with legal developments in this area despite the increased understanding of the importance of mental health in the world of work. 


Statistics

The IBA’s news release noted improved workforce stability, with employees remaining in their roles in Lithuania, Pakistan, Russia, Sweden, and Ukraine. 

The IBA shared that, among those surveyed: 

  • 71 percent of employees in Canada wanted to gain new roles 
  • 87 percent of programmers in China’s technology industry were seriously concerned about losing their jobs or being unable to find a new one after reaching the age of 35, as many job advertisements limited applications to those under that age 
  • 36 percent of Canadian employers believed AI would improve productivity 
  • 41 percent of employers in the UK acknowledged AI’s potential 
  • 42 percent of employers in Latvia integrated AI into their work 
  • 35 percent of employers in Luxembourg used external AI 

The IBA urged employment lawyers to monitor developments such as the rise in retirement age, changes regarding parental leave, the importance of data protection and privacy, and the necessity of aligning work policies with human rights safeguards. 

The IBA GEI’s report includes research and insights from lawyers from 53 countries. Otto, IBA GEI council member, and Solomon, IBA GEI Advisory Board member, led the coordination and drafting of the report. 

“As technology becomes integral to the modern working world, countries see both the possibilities and challenges of AI,” Otto said in the IBA’s news release. “Moving forward, businesses must invest in retraining, address ethical issues, and ensure AI complements human creativity, while the legal framework continues to evolve.” 

“It will be interesting to monitor how policies such as DEI [diversity, equity, and inclusion] and ESG [environmental, social, and governance] initiatives continue to change in the coming year,” Solomon added in the news release.