AI use has exploded in the workplace since its widespread launch to the public in the last couple of years. Whether employers want them to or not, employees are turning to AI tools for everything from writing emails to analyzing data, which makes having a clear AI Acceptable Use Policy more critical than ever. A solid AI use policy defines which tools are allowed, sets boundaries for appropriate use, outlines security and confidentiality requirements, and provides guidance on how employees should handle sensitive information when using AI.
Without clear guidelines and a plan to regularly update the Acceptable Use Policy as AI evolves, companies face potential legal, regulatory, and security risks, as well as missed opportunities to leverage AI safely and effectively. Having an AI usage policy can also improve employers’ relationships with third-party software vendors by establishing clear expectations and guidelines.
Top 5 Components to Include in Your Employee AI Acceptable Use Policy
To be effective, an AI use policy for employees should address the following five points:
1. List Approved and Prohibited AI Tools
Include a list of which AI tools employees can use at work and which are prohibited. For example, many companies allow enterprise-grade platforms like Microsoft Copilot or ChatGPT Enterprise for employee use but ban free, unverified apps that don’t meet their company’s data privacy standards. By explicitly stating which tools employees can and can’t use, a company can help reduce data leaks.
2. Define When AI Use is Acceptable
An AI policy should define clear, appropriate use for AI. For example, does your company approve of using AI to help craft clear and courteous responses to customers? What about drafting internal templates or creating internal reports or presentations? It is also a good idea to specify uses that are not allowed such as for generating legal documents or confidential client communications without review. By specifying which types of information can be generated using AI, companies can reduce misunderstandings and promote consistent use.
3. Explain How to Protect Sensitive Data
Outline what types of data should never be entered into AI platforms. Some common types of data that should be protected are private financial information, HIPAA-regulated data, and employee records. Include examples in the policy such as quarterly earnings, patient files, payroll information, or proprietary research data and explain why sharing even seemingly harmless details can expose sensitive information when shared with public AI systems.
4. Clarify Who Owns AI Content
Company AI use policies should clarify who owns AI generated content. For instance, does the company own an AI generated report for a project being handled by an employee? Are all materials produced with AI tools on company systems or during work hours considered company property? Defining these points clearly helps prevent disputes over intellectual property rights.
5. Reinforce Human Accountability
An AI use policy should reinforce human accountability for the work they produce. Put simply, AI makes mistakes so it cannot replace human oversight or decision-making. Make it clear that workers are still responsible for verifying accuracy, tone, and compliance before sharing AI-generated output. For example, if AI drafts a client report, the employee must ensure all facts are correct and align with company standards before submission.
Additional Considerations:
A successful rollout of an AI use policy will include training to be sure that employees are well-informed about the AI tools approved for use, what types of content are approved for creation with AI, and how they are expected to protect company data and integrity.
Employers should train managers on appropriate and inappropriate uses of AI among their teams, as well as on how to identify the use of unapproved tools or the misuse of approved tools. Ongoing training and awareness efforts support fairness, transparency, and accountability across the organization.
Seay HR Can Help Craft an AI Acceptable Use Policy
Seay HR offers a suite of flexible, high-impact services that complement your existing HR support. These projects are built to address your most pressing challenges and every engagement is handled by experienced HR professionals who bring not just technical knowledge, but real-world insight to help your business thrive.
Seay HR can provide support in crafting a clear, compliant AI acceptable use policy, which can then be used for training and added to your employee handbook. Click here to learn more about how Seay HR can support your business.
Please note: This article is for informational purposes only and does not constitute legal or professional advice. Seay HR makes no representations or warranties, express or implied, regarding the accuracy, completeness, or applicability of the information contained herein.
Seay HR disclaims all liability for any actions taken or not taken based on the information in this article. Readers are solely responsible for their own interpretation and use of this information.





