Read The Times Australia

Daily Bulletin

Algorithms workers can't see are increasingly pulling the management strings

  • Written by: Tom Barratt, Lecturer, School of Business and Law, Edith Cowan University

“I’m sorry, Dave. I’m afraid I can’t do that.” HAL’s cold, if polite, refusal to open the pod bay doors in 2001 A Space Odyssey has become a defining warning about putting too much trust in artificial intelligence, particularly if you work in space.

In the movies, when a machine decides to be the boss – or humans let it – things go wrong. Yet despite myriad dystopian warnings, control by machines is fast becoming our reality.

Algorithms – sets of instructions to solve a problem or complete a task – now drive everything from browser search results to better medical care.

They are helping design buildings. They are speeding up trading on financial markets, making and losing fortunes in micro-seconds. They are calculating the most efficient routes for delivery drivers.

In the workplace, self-learning algorithmic computer systems are being introduced by companies to assist in areas such as hiring, setting tasks, measuring productivity, evaluating performance and even terminating employment: “I’m sorry, Dave. I’m afraid you are being made redundant.”

Giving self‐learning algorithms the responsibility to make and execute decisions affecting workers is called “algorithmic management”. It carries a host of risks in depersonalising management systems and entrenching pre-existing biases.

At an even deeper level, perhaps, algorithmic management entrenches a power imbalance between management and worker. Algorithms are closely guarded secrets. Their decision-making processes are hidden. It’s a black-box: perhaps you have some understanding of the data that went in, and you see the result that comes out, but you have no idea of what goes on in between.

Algorithms at work

Here are a few examples of algorithms already at work.

At Amazon’s fulfilment centre in south-east Melbourne, they set the pace for “pickers”, who have timers on their scanners showing how long they have to find the next item. As soon as they scan that item, the timer resets for the next. All at a “not quite walking, not quite running” speed.

Amazon's fulfillment centre in Dandenong, south-east Melbourne, Victoria. Amazon’s fulfillment centre in Dandenong, south-east Melbourne, Victoria. Revere Agency/AAP

Or how about AI determining your success in a job interview? More than 700 companies have trialled such technology. US developer HireVue says its software speeds up the hiring process by 90% by having applicants answer identical questions and then scoring them according to language, tone and facial expressions.

Read more: Facial analysis AI is being used in job interviews – it will probably reinforce inequality

Granted, human assessments during job interviews are notoriously flawed. Algorithms,however, can also be biased. The classic example is the COMPAS software used by US judges, probation and parole officers to rate a person’s risk of reoffending. In 2016 a ProPublica investigation showed the algorithm was heavily discriminatory, incorrectly classifying black subjects as higher risk 45% of the time, compared with 23% for white subjects.

How gig workers cope

Algorithms do what their code tells them to do. The problem is this code is rarely available. This makes them difficult to scrutinise, or even understand.

Nowhere is this more evident than in the gig economy. Uber, Lyft, Deliveroo and other platforms could not exist without algorithms allocating, monitoring, evaluating and rewarding work.

Algorithms workers can't see are increasingly pulling the management strings Algorithms dictate who gets work on food-delivery platforms like Deliveroo and Uber Eats. Gonzalo Fuentes/Reuters

Over the past year Uber Eats’ bicycle couriers and drivers, for instance, have blamed unexplained changes to the algorithm for slashing their jobs, and incomes.

Rider’s can’t be 100% sure it was all down to the algorithm. But that’s part of the problem. The fact those who depend on the algorithm don’t know one way or the other has a powerful influence on them.

Read more: Uber drivers' experience highlights the dead-end job prospects facing more Australian workers

This is a key result from our interviews with 58 food-delivery couriers. Most knew their jobs were allocated by an algorithm (via an app). They knew the app collected data. What they didn’t know was how data was used to award them work.

In response, they developed a range of strategies (or guessed how) to “win” more jobs, such as accepting gigs as quickly as possible and waiting in “magic” locations. Ironically, these attempts to please the algorithm often meant losing the very flexibility that was one the attractions of gig work.

The information asymmetry created by algorithmic management has two profound effects. First, it threatens to entrench systemic biases, the type of discrimination hidden within the COMPAS algorithm for years. Second, it compounds the power imbalance between management and worker.

Our data also confirmed others’ findings that it is almost impossible to complain about the decisions of the algorithm. Workers often do not know the exact basis of those decisions, and there’s no one to complain to anyway. When Uber Eats bicycle couriers asked for reasons about their plummeting income, for example, responses from the company advised them “we have no manual control over how many deliveries you receive”.

Broader lessons

When algorithmic management operates as a “black box” one of the consequences is that it is can become an indirect control mechanism. Thus far under-appreciated by Australian regulators, this control mechanism has enabled platforms to mobilise a reliable and scalable workforce while avoiding employer responsibilities.

“The absence of concrete evidence about how the algorithms operate”, the Victorian government’s inquiry into the “on-demand” workforce notes in its report, “makes it hard for a driver or rider to complain if they feel disadvantaged by one.”

The report, published in June, also found: it is “hard to confirm if concern over algorithm transparency is real.”

But it is precisely the fact it is hard to confirm that’s the problem. How can we start to even identify, let alone resolve, issues like algorithmic management?

Fair conduct standards to ensure transparency and accountability are a start. One example is the Fair Work initiative, led by the Oxford Internet Institute. The initiative is bringing together researchers with platforms, workers, unions and regulators to develop global principles for work in the platform economy. This includes “fair management”, which focuses on how transparent the results and outcomes of algorithms are for workers.

Understandings about impact of algorithms on all forms of work is still in its infancy. It demands greater scrutiny and research. Without human oversight based on agreed principles we risk inviting HAL into our workplaces.

Authors: Tom Barratt, Lecturer, School of Business and Law, Edith Cowan University

Read more https://theconversation.com/algorithms-workers-cant-see-are-increasingly-pulling-the-management-strings-144724

Business News

How Businesses Can Prepare for Unexpected Power Outages

Power failures can occur quickly. The supply may be interrupted by bad weather, issues with the electricity network, damaged equipment or local construction work. This can be just a hassle for a fam...

Daily Bulletin - avatar Daily Bulletin

How Chatswood Tutoring Can Fit Into a Student’s Weekly Routine

Create a Predictable Weekly Structure A consistent weekly routine can make study easier to manage when students are balancing several subjects. Chatswood tutoring can provide a fixed learning point a...

Daily Bulletin - avatar Daily Bulletin

The Rise of Digital Marketplaces in the Australian Trade Sector

For decades, the Australian trade and construction sector operated almost entirely on word-of-mouth recommendations and local community networks. Small business owners typically relied on local newspa...

Daily Bulletin - avatar Daily Bulletin

How Immigration Lawyers Can Help

Introduction Visa decisions can shape employment, family life, study plans, travel, and future residence. A small omission can lead to delay, added expense, or refusal. Immigration lawyers assess l...

Daily Bulletin - avatar Daily Bulletin

How Industrial Drying Equipment Supports Efficient Processing

Many industrial processes require moisture to be removed from compressed air, products or process materials before they move to the next stage. Excess moisture can affect equipment performance, produc...

Daily Bulletin - avatar Daily Bulletin

Practical Ways a Whiteboard Can Improve Workplace Communication

Effective communication helps teams stay organised, share ideas and keep track of important information. While digital tools are now common in many workplaces, a whiteboard continues to provide a simp...

Daily Bulletin - avatar Daily Bulletin

Designing Eco-Friendly Custom Water Bottles for Your Next Event

The Evolution of Sustainable Event Merchandise Event planning has undergone a massive transformation over the last decade. Gone are the days when organizers could hand out cheap, single use plastic...

Daily Bulletin - avatar Daily Bulletin

Why Choosing a Professional Florist Melbourne Makes Flower Delivery Impactful

Flowers have a great power to speak when humans cannot express their feelings with right words. Flowers are the best gifts when you are celebrating a birthday or welcoming a newborn child into your fa...

Daily Bulletin - avatar Daily Bulletin

The Business Case for Choosing Australian Fabricators Over Imported Alternatives

For a long time, you might have defaulted to overseas suppliers when sourcing fabricated metal components for a project. The unit price was lower on paper, and the maths seemed straightforward. That...

Daily Bulletin - avatar Daily Bulletin

The Daily Magazine

Sydney Academy Partnership Targets Talent Development for Travel and Hospitality

VFS Global Academy’s Australian expansion will focus on practical skills and career development thro...

How Strategic Corporate Gifting Boosts Client Retention and Team Morale

As the calendar pushes towards the end of the year, business leaders across Australia begin evalua...

The Importance of Reliable Plumbing Services During Home Renovations

A freshly renovated bathroom can make an ordinary Monday morning feel a little more inviting. The ne...

Backyard Living Options for Campbelltown Homes: What Works Best?

You know that feeling at the end of a long, busy week when all you want is a calm spot outdoors, whe...

Smart Wardrobe Storage Ideas for Small Sydney Apartments and Bedrooms

A well-designed wardrobe is one of the most useful things a home can have. It's meant to keep clothe...

Colorbond Fencing in Australia: Costs, Colours, Rules and What Actually Lasts

Drive through almost any Australian suburb built in the last thirty years and you are looking at the...

Why Your Dental Clinic Is Not Getting Enough New Patient Bookings From Google

Introduction SEO for Dentist is not just about getting a dental clinic to appear somewhere on Goo...

Low Water Pressure in Sunbury: Is the Problem Inside Your Home or Outside It?

Low water pressure is one of those problems that can send a homeowner in the wrong direction. A we...

4 Beige Rugs for Beautiful and Comfortable Wooden Flooring

Wooden flooring already brings warmth and character to a room, but a beige rug can make that found...