Kathmandu. “If artificial intelligence (AI) comes, jobs will be lost. So far, this fear was only a matter of debate, but now it has taken a big legal turn. A landmark ruling by a Chinese court has made it clear that employees cannot be dismissed just because of the advent of AI.
The decision has sparked a renewed debate about both the strategy of tech companies and the safety of their employees. The entire case is related to a company based in Hangzhou, China. It’s worth noting that Hangzhou is the city where some of the world’s biggest tech companies are located. There are companies like Alibaba and DeepSick.
Filed by an employee in frustration
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In the same city, an employee’s workload gradually decreased due to AI tools and large language models. The company thought the machines could now replace people. Later, the employee was offered a new position. However, the new role provided significantly lower pay and different working conditions.
The employee denied it. The company then fired him. The case reached court and the story took a turn. The court said the company’s action was unfair. Now, just because AI can do the same thing doesn’t mean no one can be fired.
Job should not be cut in the name of AI
The court made an important point in its decision: While a company has the right to change technology, it does not take away the rights of employees. If a company is adopting automation or AI, it must also comply with labor laws. This means the company can’t say, ‘Now the AI is here, you don’t need it anymore’.
This decision also means that companies should treat employees fairly. If roles are changed, they should be provided with fair wages and conditions. If the job is terminated, a valid reason and process will be required. Just claiming that AI is cheap is not acceptable.
Interestingly, the court also sent a message to the staff. The court said it was necessary to keep abreast of the changing technology. This doesn’t mean AI can’t be stopped entirely, but it also doesn’t mean that people should be forced out of the service for no reason.
It’s worth noting that this isn’t the first case. Earlier in 2024, a court in Guangzhou ruled in a similar case that technology upgrades could not lead to job losses. China is currently planning on several fronts. Despite the increased use of AI, special provisions are being made so that jobs do not have a significant impact.
The discussion around this decision is not limited to China. Globally, companies like Microsoft, Google, and Amazon are working on AI at a rapid pace. Many companies are reducing staff to reduce costs. In such a situation, the Chinese court’s stance is considered a welcome relief for the employees.
The big question now is whether the same approach will be seen in other countries. Will there be new laws related to AI and employment in the future? Because in the future, AI will affect every sector. The media, technology, customer support, and creative sectors will also be affected.
The battle between AI and employment is far from over. But China’s decision has confirmed that ignoring human rights in the technology race will not be easy. –Agency












