AI's Next Target: Salary Negotiations (1)
AI is stepping into the world of salary negotiations, and it's shaking things up. Pactum AI, a big name in automated procurement negotiation, has been letting AI chatbots handle its employee salary talks since 2021.
Salary negotiations are often handed off to lawyers. So why not just use AI instead? AI is emotionless. It has access to all the latest compensation data down to the sector and geography. Its trained on best practices and would flag risks instantly. It’s reasonable to believe that at some point in the future, it will be AI vs AI on both sides of the negotiating table.
Meanwhile, Ironclad, backed by Sequoia and Accel, is prepping an AI agent to dissect employment contracts. Why the shift? Traditional salary negotiations can be a hot mess of emotions and inequalities. With the pandemic reshaping work-life balance priorities, AI could offer personalized packages tailored to individual needs. But it's not all rosy. Critics worry about potential data breaches, alienating top talent, and the loss of human touch. As the debate heats up, one thing's clear: the future of salary negotiations is getting a tech makeover.
