Microsoft Strikes Historic Union Deal on AI Usage, But What Does It Mean for Workers?

Microsoft Corp MSFT has reached a groundbreaking agreement with the Communications Workers of America, integrating specific language about artificial intelligence (AI) use into its first U.S. collective bargaining contract. 

The contract, covering staff at Microsoft's ZeniMax video game studio, includes Microsoft's six AI principles, emphasizing fair treatment and empowerment through AI technologies. 

The agreement obligates Microsoft to notify the union about AI implementations that might impact unionized workers' roles and engage in negotiations regarding these impacts, Bloomberg reports.

This move is part of Microsoft's broader initiative to incorporate AI into its product range, including Office, Windows, and other software, enhancing various work tasks. While Microsoft describes its AI tools as 'copilots' that assist rather than replace human workers, the company acknowledges the potential for these technologies to alter job roles and the wider workforce significantly.

Also Read: Artificial Intelligence Will Have A Sobering 2024, Analyst Highlights Cost and Regulation Challenges

Microsoft's supportive stance on unionization, especially noted during its acquisition process of Activision Blizzard Inc, marks a departure from the approach of some industry peers. 

MSFT Price Action: Microsoft shares traded lower by 1.55% at $368.48 on the last check Monday.