AI bias could entrench gender inequality in the workplace, warns APPG for Women and Work

Artificial intelligence could deepen gender inequality in the workplace unless women play a greater role in shaping the technology, according to new research from the Women and Work All-Party Parliamentary Group (APPG).

The report, based on evidence gathered from a series of industry roundtables between 2024 and 2025, warns that AI systems trained on historically biased data could replicate and amplify existing discrimination in areas such as recruitment, career progression and performance appraisals.

Researchers argue that without more representative data sets, stronger oversight and greater diversity among the people who design and implement AI systems, the technology risks embedding workplace inequalities as businesses increasingly make automated and algorithmic decisions.

The findings highlight several real-world examples where algorithmic systems have shown bias. One case involved the withdrawal of an AI recruitment tool developed by Amazon after it was found to favor male over female applicants. Concerns have also been raised about the visibility of women’s professional content on platforms such as LinkedIn, where algorithmic ranking has reportedly reduced the reach of posts written by women compared to those approved by men.

More broadly, experts say that large-scale linguistic models and other AI programs often learn patterns in historical data that reflect long-standing gender inequalities in hiring and pay. If those patterns are not corrected during development, systems can inadvertently reinforce them when used in real-world decision making.

The report warns that women face a double threat from the rapid rise of artificial intelligence: they are underrepresented in the development and leadership of the technology sector, yet they are overrepresented in roles most vulnerable to automation.

Management, education, health care and social care positions, many of which are held by female workers, were among the first sectors to be affected by the first waves of AI-driven automation. As more industries use artificial intelligence tools, the risk of displacement may increase unless women are better equipped with digital and technological skills.

Karren Brady, co-chair of the Women and Work APPG, said the rapid development of AI is reshaping the labor market at a time when gender inequality remains unresolved.

“The rapid acceleration of artificial intelligence and emerging technologies is reshaping the world of work,” she said. “The persistent gender pay gap and continuing lack of equity in the technology sector make it clear that significant progress remains to be made and that urgent action is still needed.”

Industry leaders who contributed evidence to the APPG report said the problem starts with the data used to train AI systems.

Linda Benjamin, vice president at AND Digital, said artificial intelligence reflects the assumptions embedded in the knowledge used to create it.

“AI is built by the data it’s built on, the questions it asks and the people who design it,” he said. “Where historical data shows gender inequality or systemic bias, AI can learn and replicate those patterns, increasing inequality at speed and scale.”

Benjamin argued that improving women’s AI-age results should start “upstream”, by ensuring that the data sets used to train algorithms are more representative and by introducing robust testing procedures to detect and correct bias.

She also emphasized the need for greater participation of women in AI and digital jobs, as well as policies that remove structural barriers to entry into the field.

Those barriers include limited access to innovation opportunities, high childcare costs and workplace structures that make it difficult for women to retrain or enter technical roles.

Experts who contributed to the report also highlighted the risk that older women may be disproportionately affected by the transition to AI-powered workplaces. Workers over the age of 55 are often excluded from digital training programs, leaving them at greater risk of losing their jobs as businesses embrace automated processes.

At the same time, the report raises concerns about the use of AI-driven productivity monitoring tools in workplaces. These systems can track performance metrics and employee behavior in real time, but critics warn that they can create overly punitive workplaces if used without safeguards.

Charlotte Wilson, head of UK and Ireland business at Check Point Software Technologies, said artificial intelligence has demonstrated its potential to deliver significant benefits in areas such as healthcare, including technology for early detection of breast cancer.

However, he cautioned that technology should never be taken as infallible.

“AI is only as good as it processes data,” Wilson said. “When systems are created by people with their own ideas and thinking, unconscious bias can creep in. AI must be considered a tool that needs serious consideration, especially when decisions affect people’s jobs and opportunities.”

The report also highlights structural inequalities in entrepreneurship and investment that may limit the impact of women in emerging technologies.

Despite evidence that women-led companies often deliver strong financial returns, women’s start-up groups received only 1.8 per cent of UK venture capital at the start of 2024. Women also account for only about 15 percent of members on investment committees, which play a key role in deciding which startups receive funding.

Limited access to capital, combined with high childcare costs and the absence of financial safety nets, continues to limit many women’s ability to start or grow businesses. The report notes that many female founders pay themselves less or forego benefits such as maternity pay while building their companies.

Sheila Flavell, chief operating officer at FDM Group, said closing the digital skills gap will be critical to ensuring women are not left out of the next phase of economic growth.

“Upskilling and updating women in digital skills must be a priority,” he said. “From supporting girls with early education to providing clear pathways into technology and leadership roles, businesses and governments need to work together to equip women with the skills needed in the AI ​​economy.”

Flavell also emphasized the importance of supporting women returning to work after a career break, to ensure that experienced professionals are not lost forever in the technology sector.

APPG for Women and Work says its research will continue until 2026, focusing on effective policy approaches designed to ensure women are not left behind as the digital revolution reshapes the global economy.

The parliamentary group, led by Baroness Brady and Sarah Russell, plans to explore changes that could increase opportunities for digital training, improve childcare support for entrepreneurs and strengthen protection against algorithmic bias in workplace technology.

Supporters of this program say that ensuring that women have a strong voice in the development of artificial intelligence is not only a matter of equality but is important for economic competitiveness.

As AI becomes embedded in hiring, promotion and productivity decisions across the economy, they warn that ensuring fairness in these systems will determine whether the technology increases opportunity or deepens existing inequality.