and posted in Technology

Pactum AI salary negotiation bot reduces managers’ biases and provides a better offer for both sides but must be constantly calibrated

Salary negotiations are key for many employees, but they may soon get a boost from artificial intelligence.

Pactum AI, a major global procurement automation negotiation company, has been using an AI chatbot since 2021 to negotiate salaries for its employees.

Ironclad, a startup backed by Sequoia and Accel, is preparing to launch an artificial intelligence agent that specializes in analyzing labor contracts.

People are using publicly available chatbots to practice negotiations and brainstorm compensation ideas. Salary negotiations are often unsatisfactory, nerve-wracking for employees, and time-consuming for employers. As a result, anything that might improve the process is worth trying.

Workplace disruptions in the coronavirus era have changed many employees’ expectations about work-life balance, and have led some employees to focus on benefits as much as overall pay.

Repeatedly asking for a raise or benefits from someone you may be dealing with for years to come is difficult.

People who don’t typically negotiate salaries or those who want options beyond salary, such as additional vacation or other time off, can benefit from AI chatbots.

Pactum AI took inspiration for its salary negotiation bot from its autonomous negotiation platform, which companies like Walmart use to negotiate with vendors.