Many clients tell us they’re not ready for an AI policy because they don’t want employees using AI tools at work. Here’s the problem: your employees are using them already.
ChatGPT, Copilot, Gemini and dozens of other tools are free and one click away. Employees are drafting emails, summarizing contracts, analyzing data, and generating reports with them right now — whether or not you’ve authorized it. The absence of a policy doesn’t stop the behavior. It just stops you from managing it.
That distinction matters. Without a policy, your company has no documented standard for acceptable use, no restriction on what data employees can input into third-party AI tools, and no clear line of accountability if something goes wrong. Employees may unknowingly feed confidential client information, trade secrets, or legally protected personal data directly into a public AI model, where it can be retained, used for training, or exposed in a breach. There’s also the discrimination and accuracy risk baked into AI-generated content used in HR decisions like hiring, performance evaluations, or discipline.
An AI use policy isn’t about banning AI (unless you want it to be). It’s about setting guardrails: which tools are approved, what data can’t be entered, disclosure requirements when AI generates work product, and accountability if the policy is violated. A clear policy reduces exposure and gives you a defensible position if litigation or a regulatory inquiry follows.
Waiting until there’s a problem is the highest-risk option available. Proactive governance is the lower-risk one.
Our Firm’s AI Consultation Service: We help businesses identify where AI could be used across company and HR processes, flag risks to intellectual property and data security, and assess opportunities for responsible adoption — including a customized AI use and disclosure policy and related templates. Contact us to schedule a consultation.
Disclaimer: This content is for informational purposes only and does not constitute legal advice or create an attorney-client relationship. Employment laws vary significantly by state and circumstance. Please contact our office regarding your specific situation.
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