Month: June 2023

Policymakers have a golden opportunity to help small firms make the most of tourism season this summer as the holiday season kicks off, according to the Federation of Small Businesses (FSB.)
The UK’s unparalleled attractions, coupled with favourable exchange rates, will likely attract a wave of international visitors over the next few months – while budget-conscious Brits will be looking to make their money go further with local staycations.
Recent data from the latest Small Business Index (SBI) shows there has been a big rebound in confidence in accommodation and food services, up 53.7 points to -17.8 points.
The fact that it remains in the negative zone highlights the challenges faced by the sector in the aftermath of Covid-19 – with 77% of small tourism and hospitality firms saying they carry some sort of debt, compared to 59% pre-pandemic.
This means the Government and other policymakers must consider urgent ways to alleviate the burden on our tourism industry.
To help, FSB has created a Sunshine List to help lift tourism firms this summer:

Transport needs to run smoothly – and the Government must ensure its Pothole Fund is fairly allocated.
Parking must be accessible on high streets, with tourist hotspots increasing park and ride.
Raising the VAT threshold from £85,000 to £100,000 could spark growth in the hospitality industry, as currently, many tourism firms halt trading near the end of the tax year to avoid hitting the current limit and incurring additional costs.
The Small Business Rates Relief threshold should be increased to £25,000 to remove 200,000 small firms out of the rates system.
Cheaper energy costs – energy firms should adopt FSB’s proposal to allow small firms who negotiated their contract at the height of the energy crisis last year to be able to ‘blend and extend’* their contracts to take advantage of lower, wholesale prices.
Local Visitor Economy Partnerships should come up with plans that are fully reflective of small business interests.

FSB National Chair Martin McTague said: “This summer presents a kaleidoscope of opportunities for small firms in the hospitality and tourism sectors across the UK. There’s a wealth of things to do here – from historical sites to traditional fish and chips by the sea – so it’s no wonder people flock here every summer.
“Long term weather forecasts are notoriously unreliable, but we hope the Met Office’s predictions of a warm summer come true, giving a fillip to small firms that rely on tourists.
“Small firms have already endured the profound impact of the pandemic and overcome numerous obstacles, and now they must navigate high inflation. The improvement in hospitality confidence indicates the first green shoots of recovery, but they need continuous care and support.
“Stimulating our tourism and hospitality sectors with our Sunshine List this summer could make the world of difference, allowing hospitality firms to be the best they can possibly be. In turn, this will mean tourists can properly support our small business ecosystem, helping confidence leap into positive territory.”
Read more:
FSB launches ‘Sunshine List’ of ideas to empower hospitality firms as tourism season kicks off

Food prices in the UK have soared at their fastest rate for almost 45 years, with grocery prices rising by 19.1% in the year to April.
“I know people are paying more for their bag of potatoes or bag of carrots, but it’s not because we want more money,” said Pembrokeshire potatoe farmer Tessa Elliot .
“Our costs have gone up drastically and we are still trying to understand where we can even make a profit.”
Cash flow is always a challenge for potato farmers, who can wait more than a year to be paid for their crops after harvesting.
But since the Covid-19 pandemic and Russia’s invasion of Ukraine, food production costs have jumped.
“For fertiliser we were paying £290-odd and it shot up to £900 for that same bag,” said Tessa, whose family has run Cresswell Barn Farm for more than 40 years.
“Seeds were up £40 a tonne. Labour costs went up. There was nothing that didn’t go up double, if not more.”
While those costs undermined farmers’ profits, they also translated into higher costs for consumers, with food prices increasing by nearly a fifth between April 2022 and April this year.
The Competitions and Markets Authority is currently investigating all supermarkets over high food and fuel prices amid allegations that customers are overpaying.
But supermarkets insist they are working to keep prices “as low as possible.”
Matthew Hunt runs Filco, an independent chain of supermarkets in Wales, said: “It’s very much a perfect storm at the moment, you’re seeing cost increases coming from all directions – the three major ones are fuel, labour and energy.”
He said his company was not passing on the full cost increases to customers: “It’s squeezing how we operate and we have to look at ourselves and see where we can take costs out of our operations.”
The UK government has floated the idea of a voluntary cap on basic food prices, but that’s had a cold reception from the industry.
“It’s a nice soundbite,” said Matthew. “How it would work in stores is confusing to me.”
Read more:
Breaking Down UK Inflation: The Impact of Rising Food Prices on Farmers

British Airways has been fined $1.1 million by the U.S. Transportation Department (USDOT) for failing to provide timely refunds to passengers for flights to and from the United States during the COVID-19 pandemic.
This penalty aims to serve as a strong deterrent to future unlawful practices by British Airways and other carriers.
Allegations Against British Airways
Since March 2020, the USDOT received over 1,200 complaints alleging that British Airways failed to provide timely refunds to passengers. The airline was accused of not maintaining adequate customer service phone lines, making it challenging for consumers to request refunds for flights that were either cancelled or significantly changed.
According to the USDOT, British Airways’ website instructed customers to contact the carrier via phone to discuss refund options during the period from March to November 2020. However, customers were unable to reach customer service agents when calling the carrier due to inadequate functionality of the phone lines. Additionally, there was no option to submit a refund request through the carrier’s website during this period.
The situation was further exacerbated by misleading information on the airline’s website, which led consumers to inadvertently request travel vouchers instead of refunds.
British Airways’ Response
In response to the allegations, British Airways denied any wrongdoing, stating that it acted lawfully at all times. The airline acknowledged that during the height of the pandemic, customers experienced slightly longer wait times to reach customer service teams due to the closure of some call centers and the cancellation of thousands of flights as a result of government restrictions.
British Airways emphasized that it offered customers the flexibility to rebook travel on different dates or claim refunds if their flights were cancelled. To date, the airline has issued more than five million refunds since the start of the pandemic.
Credit Towards the Penalty
The USDOT has credited British Airways $550,000 toward the penalty, as the airline issued more than $40 million in refunds to customers with nonrefundable tickets in 2020 and 2021. This credit reduces the total amount payable by the airline, but still serves as a reminder of the importance of providing timely refunds to customers.
USDOT’s Actions Against Other Airlines
The British Airways fine is not an isolated case of the USDOT taking action against airlines for delayed refunds. Last month, LATAM Airlines Group was fined $1 million after the airline and its affiliates delayed refunds. The USDOT received more than 750 complaints alleging that LATAM, the largest carrier in Latin America, failed to provide timely refunds for U.S. flights.
In January, the USDOT announced its intention to seek higher penalties for airlines violating consumer protection rules, in an effort to deter future misconduct and prevent such penalties from being viewed as merely a cost of doing business.
The Importance of Timely Refunds
Timely refunds are crucial for maintaining customer trust and satisfaction, particularly during challenging times such as the COVID-19 pandemic. When flights are cancelled or significantly changed, passengers should have access to a straightforward and efficient process for requesting and receiving refunds.
Airlines must ensure that they maintain adequate customer service channels, including phone lines and online platforms, to allow passengers to request refunds without undue difficulty. Providing clear and accurate information on refund options is also essential to prevent confusion and frustration among customers.
The Impact of the Pandemic on Airlines
The COVID-19 pandemic has had a significant impact on the airline industry, with many carriers experiencing financial difficulties due to travel restrictions and reduced demand for flights. In such circumstances, it is understandable that airlines may face challenges in providing timely refunds to customers. However, it is important for carriers to prioritize customer service and support, even during difficult times.
The British Airways case serves as a reminder that airlines must continue to uphold high standards of customer service, despite the challenges presented by the pandemic. By doing so, carriers can maintain customer trust and loyalty, which will be vital for their recovery in the post-pandemic world.
Lessons for Other Carriers
The British Airways fine highlights the importance of airlines maintaining effective customer service channels and providing timely refunds to passengers. Other carriers can learn from this case and take steps to ensure that they are adequately prepared to handle refund requests, particularly in times of crisis.
Airlines should invest in their customer service infrastructure, including phone lines and online platforms, to make it easy for passengers to request refunds when necessary. Additionally, carriers should ensure that their refund policies are clearly communicated and easily accessible to customers, in order to prevent confusion and misunderstandings.
The Future of Air Travel and Customer Service
As the world gradually recovers from the COVID-19 pandemic, the airline industry faces a long road to recovery. To succeed in this new landscape, carriers must prioritize customer service and satisfaction, including providing timely refunds when required.
Airlines that demonstrate a commitment to customer care, transparency, and efficient refund processes will be better positioned to regain customer trust and loyalty, which will be essential for their long-term success. The British Airways case serves as a valuable lesson for all carriers, emphasizing the importance of maintaining high standards of customer service even in the face of unprecedented challenges.
Conclusion
The $1.1 million fine imposed on British Airways by the USDOT underscores the importance of timely refunds and effective customer service in the airline industry. As carriers navigate the post-pandemic world, they must prioritize customer satisfaction and invest in the necessary infrastructure to ensure a smooth refund process for passengers. By doing so, airlines can maintain customer trust and loyalty, which will be crucial for their recovery and long-term success.
Read more:
British Airways fined over $1M for delayed refunds during COVID-19 pandemic

Britain’s major retailers and food manufacturers are increasing their lobbying efforts to postpone significant environmental reforms that will require them to pay for the collection and recycling of household packaging waste from next year.
The proposed “extended producer responsibility” (EPR) scheme, set to launch in April 2024, would require food producers and retailers selling own-brand products to report packaging waste data from January 2023 and pay the full cost of packaging waste disposal from April 2024.
The changes would apply to companies with a turnover of £1m or more, and the funds would be paid to local councils to finance green bin collections.
Industry leaders have used Downing Street crisis talks, following soaring food prices, to caution that the EPR scheme would raise shopping bills further and worsen the cost of living crisis. Supermarket bosses and food manufacturers have reportedly requested ministers to halt the launch of the EPR scheme. Business leaders argue that the scheme would cost at least £1.7bn annually, and the bulk of the cost would be passed on to consumers through higher prices on supermarket shelves.
The government has pledged to introduce such a scheme for years, with Michael Gove as environment secretary first proposing it in 2018. Delays have been attributed to the Covid-19 pandemic, Brexit draining the government’s
Industry bosses have used Downing Street crisis talks arranged in response to soaring food prices to warn that the plans – due to come into effect in April 2024 – would drive up shopping bills further amid the cost of living crisis.
In meetings summoned by Rishi Sunak as food prices rise at the fastest annual rate since the 1970s in the past month, supermarket bosses and food manufacturers are understood to have asked ministers to halt the launch of the “extended producer responsibility” (EPR) scheme.
Under the plans, food producers and retailers that sell own-brand products will be obliged to report packaging waste data from January next year and pay the full cost of packaging waste disposal from April. The changes apply to companies with turnover of £1m or more, and the money would be paid to local councils to help fund green bin collections.
Business leaders argue the scheme will cost at least £1.7bn a year, saying the bulk of the cost would be passed on to consumers through higher prices on the supermarket shelves.
The government has promised such a scheme for years, with Michael Gove as environment secretary first putting it forward in 2018. However, progress has been slow, with delays blamed on the Covid pandemic, Brexit draining the government’s capacity to legislate, and political turmoil leading to a constantly shifting cast of ministerial appointments.
Karen Betts, the chief executive of the Food and Drink Federation, said: “They should consider delaying the EPR to take that cost out of pricing while inflation remains very high. It would seem to us to be a sensible thing to do.
“We’re seeing the government rushing through legislation so they’re not accused of backsliding on environmental commitments. But the result is you have a very muddled, confused scheme which we think won’t work. Not only is it going to cost consumers more, but because it’s not ready it’s even worse.”
The British Retail Consortium has also pushed for the government to “urgently rethink” the recycling reforms. It comes after ministers floated the idea of voluntary price caps for basic food items at the Downing Street talks, prompting a furious response from business bosses and Conservative backbenchers.
Campaigners warned delays would have devastating consequences for the environment, while council leaders said failure to act would mean council tax payers continue to shoulder all recycling costs rather than sharing it with corporations. They argue the scheme will cost less than suggested by industry lobbyists because it discourages wasteful packaging and promotes recycling.
Cllr Linda Taylor, the environment spokesperson for the Local Government Association, said: “Currently taxpayers foot the bill for processing the waste, often dealing with excessive packaging and the challenges of material that is difficult to recycle.
“Councils have been planning for the introduction of EPR in 2024 following previous delays and would be disappointed by another delay creating further uncertainties related to the waste reforms that risk delaying investment.”
Allison Ogden-Newton, the chief executive of Keep Britain Tidy, said: “It’s all very well saying ‘cost of living, and it’s a difficult time to reintroduce EPR’, but at the moment taxpayers are paying for the cost of retrieval for recycling, and the rest is either going to litter or landfill – which is devastating the environment.
“We think it’s overdue and will make a big impact in helping us to clear up.”
However, industry leaders said gaping holes still remained in the government plan almost half a decade after it was first announced. Ministers are yet to outline how changes to standardise kerbside waste collections of household recycling will be made – two years after a consultation on the matter was first launched.
“It’s a shambles to be honest,” said Dick Searle, the chief executive of the Packaging Federation, an industry trade body. “How on earth can we get to work if we don’t know how the people collecting stuff from households are going to be working?
“We’re all on the same page here [on reducing waste], but it just isn’t fit for purpose and the timetables are completely unrealistic.”
A government spokesperson insisted the EPR would be phased in from 2024. “We have been engagingly closely with manufacturers, retailers, and packaging companies on the final design of the scheme and on delivery plans. We will continue to work with these vital groups to help shape future policy.”
Read more:
Food industry lobbying threatens UK household recycling reforms

As AI continues to advance, SMEs in the UK are increasingly seeking ways to harness its power to drive business growth and remain competitive in today’s fast-paced market.
Here, we will explore the numerous benefits of AI for SMEs and how they can leverage advanced digital technologies to achieve operational excellence, improve customer engagement, and gain valuable insights.
The AI Revolution in the Business World
AI refers to the development of machines or systems that can perform tasks that once required human intelligence. As AI technology has become more accessible and affordable, it has begun to play a significant role in the functioning of businesses across various sectors, particularly for SMEs looking to stay competitive and grow in the UK market.
AI and its Impact on SMEs
AI has the potential to bring a myriad of benefits to SMEs, including increased productivity, better customer service, improved logistics, and smarter supply chains. By incorporating AI-powered tools and processes into their daily operations, SMEs can achieve greater efficiency, freeing up employees to focus on more critical tasks and enabling businesses to scale rapidly.
Increased Productivity through Automated Processes
Automating routine, time-consuming tasks with AI can significantly boost productivity for SMEs. For instance, Natural Language Processing (NLP) models like ChatGPT can handle a wide range of customer interactions, from answering basic questions to resolving complex issues. Consequently, employees can dedicate more time to high-value tasks that require creativity and critical thinking.
Productivity Gains through an Augmented Workforce
AI-powered tools can assist employees in performing their jobs more efficiently, resulting in labor productivity improvements that contribute to overall business growth. According to a PwC report, labor productivity improvements are expected to account for over 55% of GDP gains from AI between 2017 and 2030.
Better Customer Service
AI can help SMEs deliver personalized experiences at scale, resulting in enhanced customer satisfaction. By deploying AI-driven chatbots, SMEs can provide self-service options for customers while enabling service representatives to focus on more complex issues.
Better Opportunities for Upselling and Cross-Selling
AI can predict cross-sell and upsell opportunities, surfacing the right recommendations to customers at the right time. This can significantly increase revenue for SMEs and help them stay competitive in the market.Improved Logistics and Smarter Supply Chains
AI can analyze large volumes of data, providing end-to-end visibility and supporting better decision-making in supply chain management. This can help SMEs overcome supply chain difficulties and optimize their operations.
AI Adoption Initiatives for SMEs
Recognizing the immense potential of AI for SMEs, various initiatives have been launched to support their digital technology adoption. For instance, the Hartree National Centre for Digital Innovation (HNCDI) programme has awarded £4.5 million to Cardiff University, Newcastle University, and Ulster University for the establishment of SME engagement hubs. These hubs aim to provide targeted support for SMEs to improve their competitiveness and growth through the adoption of digital technologies, including AI.
Real-Life Examples of SMEs Using AI
SMEs across various sectors are already leveraging AI to enhance their operations and drive business growth. Here are a few real-life examples of how AI is being utilized by SMEs:
Deploying Chatbots for Customer Self-Service
AI-powered chatbots can efficiently handle customer inquiries, allowing businesses to provide quick and accurate responses to their queries. This not only improves customer satisfaction but also frees up service representatives to focus on more complex issues.
Delivering Personalised Recommendations
SMEs can use AI-driven algorithms to analyze customer data and provide personalized product recommendations, similar to the way Netflix, Amazon, and Spotify do. This can lead to more engaging and effective marketing campaigns, ultimately driving sales and customer loyalty.
Improving Products and Processes through Data-Driven Insights
AI can help SMEs optimize their products and services by providing valuable insights based on customer data analysis. For instance, AI can be used in agriculture to maximize yields by identifying optimal planting strategies, nutrient management, and pest control methods.
Tailoring Marketing Campaigns and Communications
AI enables SMEs to deliver tailored marketing communications at scale, replacing the traditional one-size-fits-all approach. By using AI to analyze customer data and preferences, businesses can create highly targeted and relevant marketing messages, resulting in higher conversion rates and increased ROI.
AI Applications across Industries
The benefits of AI for SMEs can be felt across various industries, as businesses increasingly seek ways to leverage advanced digital technologies to improve their operations, engage with customers, and gain valuable insights.
Online Retail
AI plays a crucial role in eCommerce, allowing online retailers to provide personalized recommendations, tailor marketing campaigns, analyze customer reviews, and categorize products efficiently.
Customer Support
AI can significantly enhance the customer service experience by providing self-service options and enabling service representatives to focus on more complex issues. Deploying chatbots and AI-driven tools can help SMEs meet the growing customer service expectations in today’s market.
Logistics
AI can help SMEs manage their logistics by providing better visibility into end-to-end processes and supporting data-backed decision-making. By using AI-driven analytics, businesses can evaluate risks and disruptions in their supply chains and implement strategies to mitigate potential issues.
Embracing AI for a Brighter SME Future
As AI technology continues to advance, SMEs in the UK must embrace its potential to drive business growth and stay competitive in the market. By incorporating AI-powered tools and processes into their operations, SMEs can achieve greater efficiency, improve customer engagement, and gain valuable insights that inform their business decisions. With its ability to understand and respond to natural language and its wide range of potential applications, AI can be a powerful tool for SMEs as they strive to thrive in a rapidly evolving business landscape.
Read more:
How UK SMEs are Using AI to Drive Business Growth and Stay Competitive

With the phenomenon of ‘quiet quitting’ on the rise and the ability to attract and retain talent being key challenges for employers, it has never been more important for organisations to stand out in how they attract and motivate their staff to be loyal and enthusiastic.
The COVID-19 pandemic has had a significant effect on the corporate workplace with one long-lasting effect being a seismic change in the expectations of individuals in respect of both flexible and remote working.
Alan Delaney, Legal Director and Accredited specialist in Employment Law at Morton Fraser explains that businesses should also be aware of how these developments are being further encouraged by changes to the legal landscape. The Employment Relations (Flexible Working) Bill is presently going through Parliament which if passed will further establish working flexibly (both in terms of hours and location) as the ‘new normal.’
This Bill is a significant step towards making flexible working the so-called “default position”, and seeks to provide employees with further rights to make requests about where and when they wish to work. Importantly, the Bill is set to be supported by secondary legislation which would make the right to request flexible working  a ‘day one’ right, rather than such a right only being available after a 26-week qualifying period. It will also allow employees the right to make two flexible working requests within a 12-month period, rather than the current position of being able to make one such request within that timescale. Employers will also have to consult with individuals if they are considering rejecting a flexible working request.
Sensibly, the Bill does not seek to impose flexible working, it provides only a more extensive right to request such an arrangement. Employers will still be able to reject a request if one of the eight current statutory business grounds apply (for example, an inability to organise work amongst other employees, or a negative impact on performance). It will also remain the case that the greater risks (so far as legal action is concerned) will arise from indirect discrimination claims, where, for example, the request is made for childcare reasons, or perhaps caring responsibilities.
However, the Bill also underscores an opportunity for employers to stand out in a crowded market, when it comes to attracting and retaining the best talent. Those organisations who are able to creatively embrace and foster a diversity of working arrangements, might well secure a competitive advantage in doing so as well as contributing significantly to overall staff happiness and motivation.
Of course, flexible working can only do so much by itself. Listening to staff and implementing measures designed to make staff happy and encourage loyalty will be key as part of any holistic approach. Some organisations may well be able to take advantage of share option or long-term incentive schemes, which have as their specific purpose attracting and retaining talent.
However, small yet meaningful perks, can often catch the eye too (from fresh fruit for staff to a day’s holiday on your birthday or time off for volunteering) and alongside a supportive, collaborative environment that recognises hard work and celebrates success, are likely to help create a positive and dynamic culture individuals will wish to be part of.
It will also be important for employers to have developed clear and well-supported career paths and initiatives for career progression. By investing in programmes (e.g. mentoring) or training that assists personal development, and ensuring employees feel able to discuss their career ambitions (and are encouraged to progress), employees will be more likely to feel motivated.
So, when it comes to the battle to attract and retain talent, while legislation will provide no more than a basic minimum, as with flexible working, it can be a useful springboard to implement attractive policies that stand out from the crowd. When implemented as part of an overall strategy (including but not limited to benefits, incentives and career progression) designed to reward contribution and loyalty, it may just make all the difference when it comes to recruitment and retention.
 
Read more:
Motivation, Maintenance & Management: Retaining talent throughout 2023

A tech start-up launched by TV couple Ferne McCann and Lorri Haines has partnered with private investment platform Seedrs to raise £250,000.
Mental health and wellbeing app Shoorah is set to provide more on-the-go wellness tools than any other wellbeing app. 
The platform has already been downloaded by thousands of users – with 6,000 downloads in the first week alone – and reached the top 10 global Apple download chart within a day of its public launch. 
The simple, low-cost app helps people to take steps to look after their mental health wherever they are, through the many features within the app.
Next month the business will partner with Seedrs to invite the public to own 6-9% of its shares through a fundraising round, with the pre-registration period running from 31May to 7 June. The raise will help support the company’s future growth plans which include the introduction of AI and global expansion. 
The tech start-up has been co-founded by Essex-based media personality Ferne McCann and her fiance Lorri Haines, who have both undertaken their own self-work journeys in recent years. 
Both founders have invested six figure sums in the business to date. Ferne McCann has been a TV personality and presenter for 10 years and both currently star in ITV programme, Ferne McCann: First Time Mum. 
The Shoorah app launched on 18 May, with a waiting list of thousands, and a high-profile London launch event.
Shoorah offers 24/7 access to a series of features which allow users to do online journalling, gratitude practices, programme affirmations to suit them, create new rituals and habits, practice mindfulness, meditate, do breath work exercises and get advice from accredited wellbeing experts in a series of mini-pods.
The business has focused on creating bite-size mental health tools – through a team of wellbeing experts – to benefit even the busiest of people. 
Shoorah CEO Lorri Haines said: “We’re at the start of a very exciting journey and we can’t wait for more people to join and support our mission and our future growth plans through the Seedrs fundraise. We look forward to delivering a new era for wellbeing by offering an affordable, extremely accessible, and very comprehensive app that will make it easier than ever for people to manage their mental wellbeing.”
COO Ferne McCann added: “All of the functions and features on the app have been proven over many years to improve mental health and, as someone who has used them all to turn around my own wellbeing, we know they absolutely work.
“We want to show people that wellbeing tools don’t have to be intimidating, or expensive, or time-consuming. With Shoorah, you can meet all of your wellness needs in a simple, convenient way that fits into your life, whatever you’ve got going on, and wherever you are.”
Both Lorri Haines and Ferne McCann have run previous businesses, covering marketing, nutrition and technology.
Full details of the Seedrs pre-reg can be found here – www.seedrs.com/Shoorah/coming-soon
Read more:
Business co-founded by TV couple Lorri Haines and Ferne McCann to raise £250,000 on Seedrs

Almost 60% of people would like to see the UK government regulate the use of generative AI technologies such as ChatGPT in the workplace to help safeguard jobs, according to a survey.
As leading figures in the tech industry call for restrictions on the rapid development of AI, research by the Prospect trade union suggests strong public support for regulation.
In a survey of more than 1,000 people last month, 58% agreed that “the government should set rules around the use of generative AI to protect workers’ jobs”. Just 12% said the government should not interfere because “the benefits are likely to outweigh any costs”.
Employers have used various forms of AI for some time – including in target-setting, and hiring and firing decisions – but the salience of the technologies has increased dramatically since the release of ChatGPT, which hit 100 million users within two months of launch.
Analysts at Goldman Sachs recently suggested AI could ultimately replace 300m jobs – up to a quarter of the global workforce – though many of these would be replaced by new jobs needed to work alongside the technology.
They identified administrative jobs as those most at risk, followed by those in law, architecture and engineering.
Prospect represents skilled workers such as scientists and engineers. Andrew Pakes, the deputy general secretary of the union, said many employees are already experiencing some form of AI through automated decision-making, often in conjunction with workplace surveillance.
“It’s the hidden decision-making behind surveillance software and many of the AI tools that leaves workers feeling uneasy about how decisions are being made,” he said.
“Rather than waiting until more problems occur before taking action, government must engage now with both employees and employers to draw up fair new rules for using this tech.”
The survey also showed that 71% of workers would be uncomfortable with having their movements tracked at work, and 59% with having their keyboard use monitored while they are working from home.
In a recent white paper, the government appeared to suggest it would take a laissez-faire approach to the development of AI, with a foreword by the science, innovation and technology secretary suggesting it had delivered “fantastic social and economic benefits for real people”.
But government sources have suggested that the prime minister has some concerns about the technology.
Pakes said it was important for regulation to tackle what he called the “here and now” of AI, as well as the potential for apocalyptic risks in the future. “The government can act today,” he said.
The TUC has called for limits on the way employers gather and use data about their staff, which can then be fed into automated decisions.
Mary Towers, who leads the TUC’s work on AI in the workplace, told a recent House of Lords select committee hearing: “Data is about control, data is about influence, data is the route that workers have to establish fair conditions at work.”
She warned that AI could be “used to intensify work to a level where it becomes unsustainable”. The TUC is calling for workers to be told what data is being gathered about them and how it is being used.
Read more:
Almost 60% of people want regulation of AI in UK workplaces, survey finds