The European Parliament has called on the European Commission to propose new rules addressing the use of algorithmic management in workplaces across the European Union. The legislative initiative report was adopted with 451 votes in favor, 45 against, and 153 abstentions.
Members of the European Parliament (MEPs) outlined recommendations for an EU proposal aimed at ensuring transparent, fair, and safe use of automated monitoring and decision-making systems at work. While acknowledging that algorithmic management can help optimize work processes, MEPs emphasized the need for human oversight and protection of workers’ fundamental rights and personal data.
Under the proposed framework, all decisions made or supported by algorithmic management systems would require human oversight. Workers would have the right to request explanations for such decisions. If employees believe their rights have been violated by an algorithmic decision, they could ask for a review, which might result in changes to or discontinuation of the system involved.
The report further recommends that key employment decisions—such as hiring or firing, contract renewals, pay changes, or disciplinary actions—should always be made by humans and remain subject to human review.
MEPs also call for increased transparency. Workers should be informed about how these systems affect working conditions, when automated decisions are used, what data is collected or processed, and how human oversight is maintained. Consultation with workers is recommended when these systems impact pay, performance evaluations, task assignments, or working hours. The use of such technology must not compromise worker wellbeing or safety.
To protect privacy and data security, MEPs propose banning the processing of information related to employees’ emotional or psychological states, private communications, geolocation outside working hours, off-duty data usage, and any information concerning freedom of association or collective bargaining activities.
Rapporteur Andrzej Buła (EPP, PL) stated: “This topic affects both employers and 200 million workers in the EU. A human-centered approach is key, and the rights, safety, and dignity of employers and employees must be strictly respected. This sends a strong signal: Europe can combine competitiveness with social responsibility. It can support innovative enterprises without sacrificing high standards and employee protection.”
Following adoption of this report by Parliament, the European Commission has three months to respond either by outlining its planned steps regarding a proposal or explaining why it may decline to act on Parliament’s request.
Current EU laws already address artificial intelligence through instruments like the AI Act and General Data Protection Regulation (GDPR). More targeted regulations on workplace AI exist under measures such as the Platform Work Directive.
