Witty Works Blog

The EU AI Act: Witty Mitigates Compliance Risks of ChatGPT or Microsoft Copilot

Written by Barbara Schülé | Dec 10, 2024 8:12:36 AM

The European Union’s new AI Act sets high standards for companies using artificial intelligence, emphasizing ethical usage and the need for inclusive, unbiased language. For businesses, the stakes are high: non-compliance could lead to fines, reputational damage, or lost trust. As AI becomes more central to everyday operations, ensuring compliance with regulations like the EU AI Act is critical.

Witty offers a unique solution tailored to meet these needs, especially regarding language used business communication and HR. Unlike general-purpose tools like ChatGPT or Microsoft Copilot, Witty is designed specifically to help companies stay compliant and avoid the pitfalls of biased or exclusive language in their AI-generated content.

Understanding the EU AI Act and Its Importance for Language

The EU AI Act, which entered into force on August 1, 2024, sets a framework for the responsible use of Artificial Intelligence (AI) across industries, including guidelines for how language is used to represent people and groups. From 2025 onward, companies operating within the European Union must comply with strict regulations governing the ethical and inclusive use of AI. Failure to meet these standards can lead to severe consequences, including substantial fines—potentially reaching millions of Euros—depending on the level of risk posed by non-compliant AI systems. Beyond financial penalties, companies also face reputational risks if their AI-generated content is found to contain biased or exclusionary language, which could harm talent and customer trust and damage brand credibility.

The Act’s requirements mean that businesses must pay close attention to how their AI communicates, particularly by ensuring language is free from bias and supports inclusion. More importantly so since the EU AI Act determined Human Resources as a 'high risk field where bias and discrimination cannot happen. Here fines are particularly high.

Why Standard AI Tools Like ChatGPT and Microsoft Copilot Fall Short

Nowadays, many HR departments use Generative AI like ChatGPT or Microsoft Copilot to create texts they use for job descriptions, talent communication, or internal communicationl. While these popular tools can generate content quickly and efficiently, they have significant limitations in the area of bias detection and Inclusive Language. And can get a company into legal trouble. Because these tools are not able to consistently recognize and correct language that is biased. Agentic language for example—terms with connotations of competition and assertiveness—can unintentionally discriminate and exclude underrepresented groups, especially in recruitment. Or we might use language that—without using any term of concrete number of years—still can discriminate against people that are over 50. Example: mentioning that you are looking for a digital native in a job opening. In both cases, Generative AI tools would not detect a problem as these algorithms are not trained on ethical considerations. 

Relying solely on Generative AI tools can leave companies vulnerable to compliance risks. Since these tools lack the capability to detect bias and, even if prompted to 'use inclusive language', are not capable in eliminating biased wording reliably.

How Witty Helps Ensure Compliance and Reduces Risks

Witty is purpose-built to help companies meet the EU AI Act requirements by providing specific, actionable support for Inclusive Language. Here’s how Witty makes a difference:

  • Inclusive Language Checks
    Witty’s language engine automatically identifies and flags language that could be exclusive or potentially biased, ensuring that your company’s communications meet high standards of inclusion.

  • Customization Aligned with EU Regulations
    Witty allows companies to create and apply customized language guidelines that align with the EU AI Act, ensuring every piece of content meets the specific inclusivity standards required.

  • Compliance Reports and Statistics
    To help with audits or internal evaluations, Witty generates statistics. This data gives companies a clear view of their language practices, demonstrating active compliance with regulatory standards and reducing the risk of non-compliance.

     

Additional Benefits: Enhanced Inclusion and Improved Corporate Image

Beyond compliance, using Witty helps build a culture of inclusion, resonating positively with potential talents, employees and customers alike. A reputation for ethical and inclusive practices not only meets regulatory demands but also strengthens brand loyalty, fostering a workplace and customer base that values respectful and inclusive communication.

Conclusion

In light of the EU AI Act, companies must take proactive steps to ensure compliance, particularly regarding bias detection in the HR field. GenAI tools like ChatGPT and Microsoft Copilot are not reliable in this topic (see our studies on these two tools.) Witty offers the tools and customization needed to meet these standards, providing a safeguard against potential risks and supporting a commitment to inclusive language that aligns with modern social expectations.

Consider exploring how Witty can support your organization in navigating these new regulations—both protecting your business and enhancing its commitment to inclusion.