What are the risks of using AI tools in HR, and how should teams manage them?

The main risks are data bias in screening and performance tools, compliance gaps if AI recommendations aren't checked against local labor law, over-reliance on AI outputs without human oversight, and data residency exposure when employee data flows through platforms not certified for your markets. To manage these: pilot AI tools on lower-stakes processes first, ensure your vendor is certified for data residency in your markets, keep humans in the loop for consequential decisions (terminations, promotions, compensation), and audit AI model outputs periodically for bias patterns.