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What to consider when using data to make hiring decisions.

Hey there, HR pros. Did you spend half the week thinking you had a cool new French coworker named Claude, only to find out it’s the latest AI tool possibly coming for your job?

Perhaps not such an original experience. IT teams might be fielding more requests for Anthropic’s AI chat tool since it dethroned ChatGPT over the weekend, surpassing OpenAI’s technology in US app downloads.

Claude’s rise comes on the heels of a falling out with the Pentagon that prompted the Defense Department to drop its contract with Anthropic. It also follows the launch of Claude Cowork, a series of tools that can connect to workplace software like Gmail and Docusign.

In today’s edition:

Good AI requires good data

Legislative lowdown

Doubling down

—Adam DeRose, Courtney Vinopal, Andrew Adam Newman

TECH

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Morning Brew Design

Ferrari may have a really fast car, but it’s not really that useful without the fuel powering its systems.

Recruiting teams are racing to incorporate new AI tools into sourcing, screening, scheduling, and other steps along the TA process. As teams spend more time working alongside AI technology, the data underneath these systems becomes incredibly crucial.

As these sophisticated AI systems become even more entrenched in TA, recruitment leaders must fuel their systems with high-quality, clean data that’s structured for their unique purposes.

“As organizations are beginning to increasingly deploy AI in their systems, data becomes the foundation,” said Vishnu Shankar, VP of platform for the AI-powered talent intelligence company Draup. “That’s the reality: The AI is only as intelligent as the data that it relies on.”

For more on what to consider when using data to make hiring decisions, keep reading here.—AD

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COMPLIANCE

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Francis Scialabba

Federal labor agencies recently overturned two Biden-era policies concerning gig worker and joint employer status. The decisions could have implications for HR teams at organizations that employ large shares of independent contractors, or those that work for franchisors or staffing firms.

DOL moves to rescind 2024 independent contractor rule. On Feb. 26, the Department of Labor announced a proposed rule for determining whether an employee is an independent contractor under the Fair Labor Standards Act (FLSA).

The rule would rescind a 2024 regulation issued by President Joe Biden’s administration that directed businesses to take into account a number of factors when determining independent contractor status, including the degree and permanence of the work relationship, and investments by the worker and employer. Under this “multifactor economic reality” model, no one consideration should take precedence over another. Federal courts have long deferred to this model when hearing cases regarding FLSA classification.

NLRB withdraws Biden-era joint-employer rule. Also on Feb. 26, the National Labor Relations Board said it’s withdrawing a rule for determining joint-employer status that was adopted by the Biden administration in November 2023.

For more on these decisions, and their implications for HR, keep reading here.—CV

DEI

An Ikea bag in rainbow pride colors.

Ikea

“We ended DEI in America,” President Trump declared in his State of the Union address on February 24, but if that’s the case, Ikea didn’t get the memo.

In its 2025 Annual Summary released a week before the address, Ikea US was unabashed about its DEI efforts.

“We believe that fairness, belonging, and respect are essential to our culture and our success,” the report stated. “Guided by our values, we continue to embed inclusive practices across the business as a fundamental way of working—strengthening our co-workers, our communities, and our performance.”

For more on Ikea’s announcement, keep reading on Retail Brew.—AAN

Together With Spark Hire

WORK PERKS

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Francis Scialabba

Today’s top HR reads.

Stat: High-risk pregnancies are contributing to higher healthcare costs for companies, according to 57% of benefits leaders. (Maven Clinic)

Quote: “None of the big companies are pouring even a small fraction of their investment into developing AI as a pro-human, pro-worker tool.”—Daron Acemoglu, an economist with M.I.T., on why enterprise AI investments aren’t benefiting the workforce (the New Yorker)

Read: Next time you’re about to “circle back” or “put a pin” in something, consider this list of corporate jargon workers hate most. (the Wall Street Journal)

Get excited: QuickBooks Payroll is getting a big upgrade. Starting this summer, this familiar favorite is evolving beyond pay runs to support how you hire, onboard, manage, and retain your team. See the details.*

*A message from our sponsor.

JOBS

More focus, less fluff. CollabWORK filters out the noise and delivers jobs that actually match what HR Brew readers are looking for. Click here to see the full board of curated roles.

EVENT

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