*Editor's note as of August 3, 2026: Until July 27, 2026, August 2, 2026, remained the date for key requirements of the AI Act. However, as part of the 'Digital Omnibus on AI,' a postponement of certain obligations, particularly for high-risk systems, to December 2027 was decided. The obligations for high-risk systems mentioned in the article therefore apply from December 2, 2027.

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With the entry into force of the EU AI Act on August 1, 2024, the European Union has created a binding legal framework for the use of artificial intelligence for the first time. The regulation applies regardless of industry or company size and therefore directly affects medium-sized enterprises as well. It should be understood less as a technology law and more as a framework for responsible decision-making with AI. It is crucial for companies to realize that the EU AI Act does not only address providers of AI systems. Organizations that use AI systems and AI functions within standard software also bear responsibility as operators for their use in their own context.

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Requirements for AI applications in human resources from August 2026*

For high-risk AI applications in the HR sector, the EU AI Act requires operators to implement structured risk management, ensure data quality and bias prevention, maintain traceable documentation of usage contexts, and guarantee human oversight and decision-making authority, starting this August. Providers of high-risk AI systems are also subject to further technical, organizational, and documentation-related obligations.

The key question for every HR department using AI applications when initially assessing the risk level is therefore: Does this AI application influence decisions regarding professional opportunities, working conditions, or the continuation of an employment relationship? It is sufficient for the AI to act in an advisory or preparatory capacity if these recommendations are regularly followed in practice.

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Risk classification of typical HR AI use cases

AI does not represent a uniform risk; rather, it can have different effects depending on where and how it is used. Therefore, the EU AI Act follows a risk-based approach and distinguishes between four risk categories:

  • Prohibited AI practices are incompatible with European fundamental values (e.g., manipulative or highly intrusive surveillance systems) and are generally banned.
  • High-risk AI systems include AI applications that are capable of significantly influencing fundamental rights, safety, or professional opportunities for individuals. They are permitted but subject to strict requirements.
  • AI systems with limited risk require transparency obligations, such as labeling AI interactions.
  • AI systems with minimal risk remain largely unregulated.

Relatively non-critical use cases include, for example, HR chatbots for standard inquiries or automated text and document generation. Here, AI supports processes without making decisions about individuals.

A nuanced view is particularly necessary for learning and development applications. Content recommendations or learning assistants are typically not high-risk. However, high-risk relevance arises where AI systems evaluate learning outcomes or control access to educational or development measures.

Particularly sensitive use cases are found in recruiting or performance and talent management when AI prepares or influences evaluations, rankings, or termination decisions.

For companies, this means: Not every AI application in HR requires action, but every application must be visible and classified. This differentiation is the key to making regulatory requirements manageable and not unnecessarily slowing down the use of AI.

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How can medium-sized businesses pragmatically approach the EU AI Act in the HR sector?

The EU AI Act requires clear responsibilities and traceable processes in the application of AI. For HR managers, four pragmatic areas of action can be derived from this:

  1. Creating transparency: Where is AI already being used in HR – whether intentionally or as a built-in feature in software solutions?
  2. Categorizing use cases: Which AI applications influence decisions about people?
  3. Clarifying governance: Who is responsible for the use of AI? How do HR, IT, data protection, legal, and, where applicable, the works council collaborate?
  4. Empowering HR: HR managers need the skills to interpret AI results, question them critically, and take responsibility for them.

For many companies, the use of AI in HR is still in its early stages. The EU AI Act can serve as a guide for setting up and developing AI in a structured, targeted manner based on clear decision-making logic.

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THE MAK'ED TEAM supports mid-sized companies in applying the EU AI Act to the HR context in a practical way – from classifying existing AI applications and structured risk assessment to designing and implementing robust governance structures.

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AUTHOR
Michelle Grobe, THE MAK'ED TEAM
Michelle Grobe
Consultant