An ILO Working Paper AI Systems at Work - A Changing Psychosocial Work Environment examines how the growing use of Artificial Intelligence in workplaces is reshaping working conditions and creating new psychosocial risks (PSRs).
As AI systems are integrated into recruitment, monitoring, and performance management, they are reshaping organizational structures and worker well-being.
The paper identifies a critical "Governance Gap," noting that existing Occupational Safety and Health (OSH) frameworks, traditionally focused on physical hazards, are ill-equipped to handle AI-driven stressors like intrusive surveillance, work intensification, and the loss of job autonomy.
The report highlights that algorithmic management often reduces a worker's control over their schedule and tasks, leading to alienation and social isolation. To combat these trends, the ILO identifies an emerging set of "New OSH Rights," such as the right to explanation, human review of AI decisions, and the right to disconnect.
The paper concludes that a "Worker-Centred" approach that includes integrating labor, equality, and data protection laws, is essential to safeguarding mental health and dignity in the digital era.
Key Psychosocial Risks (PSRs) and Findings
Intrusive Surveillance: Constant tracking (keystrokes, webcams) undermines trust and dignity.
Loss of Autonomy: Algorithms increasingly dictate task pacing and scheduling, reducing worker agency.
Cognitive Overload: AI-driven performance metrics can lead to work intensification and mental exhaustion.
Regulatory Gaps: Current laws often lack explicit protections for job dignity and transparency in AI systems.
Participation Deficit: Limited worker involvement in the deployment and oversight of workplace AI.
Data Privacy Concerns: Excessive collection of personal data without clear consent or communication.
What are "Psychosocial Risks (PSRs)"?
Psychosocial risks (PSRs) refer to aspects of work design, organisation, and management, as well as their social and environmental contexts, that have the potential to cause psychological or physical harm.
In the context of ILO Working Paper 170, these risks are specifically linked to AI and algorithmic management. For example, instead of a physical hazard like a slippery floor, a PSR might be the stress caused by an AI system that tracks every second of a worker's idle time, leading to anxiety, "technostress," and a feeling of constant, dehumanised pressure.
Policy Relevance
Protects a Growing Digital Workforce: As India becomes a global hub for AI and IT services, establishing OSH standards for psychosocial health is vital to preventing a long-term mental health crisis in the tech sector.
Informs Labour Code Implementation: The findings provide a framework for the Ministry of Labour to incorporate AI-specific safety regulations into the new Labour Codes, particularly regarding occupational safety and social security.
Balances Productivity with Well-being: By addressing work intensification, Indian firms can ensure that AI adoption leads to sustainable productivity rather than high employee turnover and burnout.
Strengthens Data Privacy: The emphasis on the "right to explanation" aligns with India's evolving data protection landscape, ensuring workers have a legal say in how their personal data is used by AI managers.
Follow the Full Paper Here: ILO Working Paper 170 – AI Systems at Work