Artificial intelligence (AI) chatbot ChatGPT has recently been making waves for producing human-like text and communication from user inputs. Accessible to anyone with a computer and internet connection, ChatGPT produces useful written material on a wide range of topics and helps make decisions. These features are causing many employers to consider ways to incorporate this technology into their organizations to improve workflows, streamline operations, and enhance the customer experience. This technology is available to employers of all sizes and offers an opportunity for those who strategically leverage it. However, AI tools have some limitations and potential risks that employers must consider. Even if organizations do not plan to incorporate AI technology into their business operations, it is still wise to understand these tools and their limitations because employees can use them without their employer̵7;s knowledge or permission. This article explains what ChatGPT is and describes new risk considerations for ChatGPT in the workplace.
What is ChatGPT?
ChatGPT is a natural language chatbot, meaning it uses a natural language processing system to respond in a conversational manner to user inputs. This allows it to imitate human dialogue and decision-making. ChatGPT can perform or assist with a variety of tasks. For example, ChatGPT can write articles, poems and songs; perform calculations; composing computer code and legal contracts; explain difficult concepts and topics; automate tasks; and talk to users. This technology is advancing rapidly and can have a major impact on how employers run and structure their organizations.
ChatGPT is a network machine learning model that is trained using datasets to generate human-like text on various topics. The chatbot is trained from books, websites and articles to create questions, answers, summaries, translations, calculations, code, conversations and more. Its knowledge is limited to information that was available when it was trained, and it cannot access new information.
Artificial intelligence & ChatGPT in the workplace
The importance of AI technology to employers cannot be understated, as it can change almost every aspect of how organizations function and conduct business. Many employers, especially larger ones, have been using this technology for years; However, ChatGPT not only makes this technology readily available to employers of all sizes, but also more accepted than before.
Incorporating AI technology can enable employers to run more efficiently and economically by automating many tasks currently performed by employees. AI can not only automate and streamline manual, error-prone tasks, but also augment the way employees work, which can enable them to focus on more valuable tasks. Rather than replacing employees’ jobs, tools like ChatGPT are likely to transform the work employees do and the value they offer their employers. Almost every aspect of an organization – including HR, marketing, accounting, legal and software engineering – can be affected by AI technology.
Additionally, organizations can use this technology to create employment policies and handbooks and calculate payroll deductions. Some AI technology can provide organizations with real-time insights into market trends and customer behavior by performing research and data analysis.
Risk considerations of ChatGPT in the workplace
While ChatGPT and other AI chatbots can replicate many human behaviors and capabilities, they have limitations that can expose organizations to a variety of risks.
By being aware of the following risks, employers can evaluate and decide whether to implement AI technology in their workplaces:
- Inaccurate and out-of-date information—Technologies like ChatGPT create the impression that it can do more or is more reliable than it is. AI’s knowledge is limited because it is only based on the information used to train it. Therefore, the information that the AI tools provide to users may be of low quality or outdated, or may contain errors. As a result, employers cannot be sure that the information this technology provides or what it produces is accurate. In some cases, AI-generated errors can be costly, exposing organizations to liability, government audits, fines and penalties. Employers would do well to verify the information produced by AI tools before using it.
- Privacy issues—This technology can create potential privacy issues for organizations. For example, employees may share proprietary, confidential or trade secret information with ChatGPT (or a similar AI chatbot) which will then become part of its database and may be included in responses to other parties’ solicitations. Also, chatbots like ChatGPT are internet-based tools, so security can never be guaranteed. Before using AI technology, employers should consider reviewing and updating their confidentiality and trade secret policies to ensure they cover third-party AI tools.
- Infringement of Intellectual Property Rights (IP).—AI-generated content can also potentially violate IP infringement laws. For example, if the chatbot generates content that is similar to existing copyrighted or trademarked material, the organization using that content may be held liable for infringement. Organizations can educate employees on potential copyright, trademark and IP infringement issues or restrict access to AI tools to reduce legal risks.
- Cyber Security Issues—Technologies like ChatGPT are likely to be embraced by cybercriminals—especially non-native English speakers—to carry out social engineering attacks, such as creating legitimate phishing emails to steal data from organizations. Additionally, this technology may have the ability to help cybercriminals write malicious code, allowing less skilled threat actors to effortlessly launch cyberattacks. Given the potential cybersecurity risks posed by this AI technology, employers should be diligent in updating and maintaining their data security measures and training employees to follow cybersecurity best practices.
- Inherent bias matters— Because the information that an AI chatbot like ChatGPT provides is dependent on the information from which it was trained, and the people who decided what information the chatbot received, there is the possibility of inherent bias. For example, if an organization consults an AI chatbot regarding hiring decisions, this bias could potentially lead to claims of discrimination. Compliance issues may also arise depending on state and local laws that require notice of AI use in certain employment decisions. Because of the risk of inherent bias, employers should design policies that limit or prohibit its use in employment decisions.
We can help
Although AI tools like ChatGPT are still relatively new, they will likely continue to improve and become more reliable over time. As such, savvy employers must closely monitor AI technology developments and potential issues to minimize the risks associated with them. If you would like additional information and resources, we are here to help you analyze your needs and make the right coverage decisions to protect your business from all the risks associated with ChatGPT in the workplace. You can download a free copy of our eBook, or if you’re ready make Cyber Liability Insurance part of your insurance portfolio, Request a quote or download and get started with our Cyber & Data Breach Insurance Application then we’ll get started for you.