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With that, business owners must pay close attention to any vendors or contractors they use in business to make sure they will not be deemed to be unintended employers of those workers.

Examples: Large group meetings, external vendor conflicts, etc.

Most organizations and vendors are still experimenting, but CHROs need to be open to reimagining work, processes and talent to truly harness AI’s value.”

; Sun noted that resources from the Economic Research Institute and survey vendors like Aon Radford and WTW can provide valuable insight into differences in cost of labor between locations based on published market data.

; ;Did a new wellness vendor increase participation rates in some activities?

The design or implementation of a particular vendor’s benefit may be administratively burdensome for your total rewards department.

These dynamics, she added, create “a pressure-cooker environment,” and employers will need to balance myriad demands that include cost-mitigation efforts, pursuing quality within health plan and vendor offerings, and managing employee expectations — all while maintaining a competitive yet comprehensive health and benefit plan for their workforces.

That can ensure coverage continues to benefit those who most need the drugs, she said, adding that third-party vendors can help adjudicate these decisions.

California is weighing a similar law, and the state’s Supreme Court ruled in August that third-party vendors can be liable if AI is used discriminatorily in hiring. ( Editor’s Note, 9/17/2025: Colorado, Illinois and New York City are leading efforts to regulate AI in HR by enacting laws to prevent algorithmic discrimination and require disclosures and audits for AI tools used in hiring and employment decisions.

That can include customers, vendors, shareholders, government institutions and — yes — employees.