Algorithmic management – software to automate or support managerial tasks – is changing workplaces, affecting how work is instructed, monitored and evaluated. To understand its impacts, an employer survey across France, Germany, Italy, Japan, Spain, and the United States gathered novel information on the adoption and intensity of the use of such tools, their impact on managerial decision-making, and managers’ trust in their outputs. The main finding is that algorithmic management is already widely used in most countries. Countries vary in the types of tools adopted, with evaluation tools highly prevalent only in the United States. While managers perceive that the use of algorithmic management improves the quality of their decisions, they also cite concerns, including unclear accountability when it comes to algorithmic decisions, inability to easily follow the tools’ logic, and inadequate protection of workers’ health. Through worker consultation, firms can mitigate the risks associated with algorithms in the workplace while boosting engagement with, and acceptance of, new tools. At the country and regional levels, policymakers must ensure that algorithmic management complies with existing legislation and standards, and that there is sufficient capacity to enforce compliance with existing rules, before identifying and addressing gaps in legislation governing automated decision-making.
How widespread is algorithmic management in workplaces?
Policy brief
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