Managing Employees In The Age Of AI

Forbes

02-07-2025

Jennifer C. Wolfe, Esq., APR is the Founder & Executive Director of Whisper Creek Spa in Hilton Head, SC and Expert in IP and Governance.
We are living in an era where truth is becoming increasingly difficult to discern. The phrase 'fake news' has become so common that it no longer surprises us when entire narratives are called into question. Mainstream media, once regarded as a trusted source of information, is now viewed with skepticism by large segments of the population. Social media has created a world where perception often eclipses reality, amplified by filters, edits and algorithms that shape content to suit personal brands and agendas. For many employees, especially younger ones, platforms like TikTok have become news sources, but these sources often lack the rigor or context needed to promote critical thinking.
Deepfakes, AI-generated personas and manipulated content have taken misinformation to an entirely new level. These technologies can imitate voices, faces and even emotional expressions with uncanny precision. As they become more accessible, it will only grow harder to discern fact from fabrication. The burden now falls on individuals to actively seek out the truth, compare multiple perspectives and apply discernment and wisdom, skills that may not be universally taught or consistently practiced.
For small business leaders, one of the most pressing and often overlooked challenges presented by AI isn't just technological; it's cultural. How do you manage employees who have grown up in an environment where truth is fluid and perspectives are personalized?
The New Reality Of Workplace Dynamics
At the same time, AI is transforming how businesses recruit, monitor and engage employees. AI-driven resume screeners, productivity trackers and sentiment analysis tools offer new ways to evaluate team performance, but they are not infallible. These tools can be manipulated or produce biased outcomes, making human judgment more critical than ever. Leaders must learn how to integrate these technologies wisely to ensure that automation supports, not replaces, real leadership.
In a world where curated content and personal branding dominate digital life, it's easy for employees, especially younger ones, to conflate perception with truth. This isn't always intentional; I believe that many simply haven't been trained to distinguish emotional reasoning from objective analysis. As a result, in today's workplace, employees may operate under the assumption that their perception is truth. Objective facts may become irrelevant if they conflict with personal feelings or what someone wants to believe. When employees feel wronged, they may turn to group chats, social media or gossip circles to share their version of events, often without context, without seeking clarification, and without regard for due process.
This erosion of truth-based dialogue makes managing a team of humans significantly more challenging. A single manipulative employee can quickly spread toxicity and division. Team members who lack critical thinking skills or emotional maturity may adopt and amplify these distorted narratives.
The Importance Of Vigilance And Swift Action
To lead effectively in this environment, managers must become relentless truth-seekers inside their own organizations. They must listen carefully, cross-check stories and look beyond surface-level emotions. Managers must have the courage to address issues head-on and remove employees who repeatedly distort the truth, manipulate others or violate company values.
Of course, not every conflict or misunderstanding stems from malice. Sometimes, it's a lack of communication skills, emotional intelligence or exposure to professional expectations. In these cases, early intervention, mentoring and clear feedback can transform a struggling employee into a valuable contributor. The key is discerning between those who are willing to grow and those who choose to sow discord.
Tolerating toxic behavior, even for the sake of short-term staffing needs, comes at a high cost. Good employees will quietly exit, team morale will erode and your company culture will suffer lasting damage. Allowing one 'bad apple' to remain sends the message that your values are flexible and your leadership is weak.
Small business owners especially felt the labor crunch during and after the pandemic. Many were forced to compromise, hiring whoever was available just to keep the doors open. But as we move forward, survival is no longer enough. To grow and thrive, businesses must return to a higher standard, recruiting carefully, investing in the right people and letting go of those who cannot meet expectations, regardless of staffing pressure.
Hiring In A Filtered World
There have always been workplace gossips and manipulators. What has changed is the cultural validation of these behaviors and the ease with which reality can be distorted using filters, AI and digital personas. Employees now have the tools to build online identities that mask their behavior in the workplace, making it easier to fool hiring managers and peers alike.
This makes the recruitment process more critical than ever. AI tools can streamline candidate selection, but they can also overlook important human signals. Candidates now use AI to generate polished cover letters and even coach themselves on interviews. That's why in-person cues, reference checks and situational interviews that probe integrity and judgment are still essential.
Go beyond resumes masked by AI models. Look for signs of emotional intelligence, self-awareness and alignment with your values. Ask questions that reveal character. And once hired, stay close enough to notice when something is off and recognize a hiring mistake quickly before real damage is done.
Managing In The Age Of AI
As AI transforms business operations, the human element becomes your strongest competitive advantage. Set the tone. Lead with clarity. And build a culture where truth, growth and accountability thrive, even in the most disruptive times.
This requires emotional intelligence that can't be masked with AI in actual human interactions, as well as a willingness to lead decisively. It's not enough to react to problems; you must create an environment where truth, respect and collaboration are actively cultivated.
All of this means organizational behavior is trickier than ever. Setting the right tone and removing toxic employees becomes mission-critical to managing human employees in an age of AI.
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