A STUDY ON ETHICAL AI AND DATA PRIVACY IN WORKPLACE PLANNING

Abstract

Artificial intelligence is rapidly transforming workplace planning processes including talent acquisition, workforce scheduling, performance evaluation, succession planning, and employee monitoring, generating vast quantities of personal and behavioural data that raise fundamental questions of ethical governance and data privacy. As HR functions increasingly adopt AI-driven tools— predictive hiring algorithms, sentiment analysis platforms, productivity tracking software, and automated appraisal systems—organisations face complex ethical obligations to employees whose professional lives, career trajectories, and psychological wellbeing are shaped by algorithmic decisions they often cannot see, understand, or contest. This study examines ethical AI adoption and data privacy practices in workplace planning across Indian organisations, analysing algorithmic bias risks, employee consent frameworks, transparency obligations, data minimisation practices, and regulatory compliance with India's Digital Personal Data Protection Act 2023. Primary data was collected through structured questionnaires administered to 115 respondents comprising HR professionals, IT compliance officers, and employees subject to AI-based workplace planning systems. Secondary data was sourced from NASSCOM AI governance reports, MEITY Digital Personal Data Protection guidelines, IEEE Ethically Aligned Design standards, and academic literature on algorithmic management and workplace privacy. Findings indicate that 73% of surveyed organisations deploy AI in at least one HR planning function, but only 31% have implemented formal AI ethics governance frameworks and 28% provide employees with meaningful explanation of algorithmic decisions affecting them. Recommendations address ethical AI framework development, algorithmic transparency obligations, employee data rights implementation, and regulatory compliance strategy under DPDPA 2023.