As employers increasingly use artificial intelligence in hiring and layoff decisions, legal challenges are expected to follow. There are growing concerns that AI-driven decisions may lead to discrimination claims, particularly where employees allege bias or disparate impact. While regulatory enforcement remains a possibility, private litigation, especially class actions, is likely to be the primary risk.
In an interview with Medical Economics, Christopher Mayer notes that lawsuits involving AI-based employment decisions are likely inevitable, particularly in large-scale layoffs. He explains that juries may view AI with skepticism, potentially treating it as a cover for discriminatory practices rather than a neutral tool. As a result, employers should take a cautious approach to AI use, with careful attention to data inputs and decision-making processes to mitigate growing litigation exposure.
Watch the full interview with Medical Economics.
General Counsel
