The Role of AI in Conflict Resolution and Employee Grievance Handling in HRM

Abstract

AI is becoming incorporated in HRM in matters concerning conflict and employee grievance resolution. Still, they scored lower regarding the effectiveness of AI in the promotion of these processes and the moderating roles of perceived trust in the systems. This research focuses on how strategic technological applications in AI such as sentiment analysis, mediation platforms, and predictive analytics will improve complaint processing and conflict management of the HRM department. It also considers how trust in the AI system moderates the above outcomes. In conducting this study, a quantitative research design was used, and a structured questionnaire was administered to 355 research participants, consisting of personnel from industries as well as Human Resource professionals. The questionnaire captured some key independent variables, the mediator, and the dependent variable; specifically, the questionnaire included; AI sentiment analysis the AI mediation tools the predictive analytics trust in AI grievance handling effectiveness Descriptive statistics, normality tests, reliability tests, exploratory factor analysis, correlation, regression, and mediation analysis were used in this study. The studies established a positive correlation between AI utilization and grievance-handling efficiency. Based on mean scores, participants strongly agreed on the effectiveness of AI technologies while the low standard deviations pointed to respondent uniformity. Cronbach’s alpha reliability coefficient was .87 which indicates high consistency and EFA supported the construct validity. Through mediation, it was found that trust in AI improves the mediated association of AI and grievance handling results. On this basis, AI technologies hold promise for innovation in grievance handling and conflict resolution in human resource management. Nevertheless, it will be important to continuously develop trust towards AI systems to bring forward the best results. The results of this research imply that technological innovation should coexist with human factors for effective AI in HRM.