Is Your Boss an Algorithm? How Is It Affecting your Mental Health?

Software algorithms are replacing traditional bosses by assigning work, setting the pace, and evaluating performance. How does this impact mental health?

In Spain, workers are increasingly being monitored by algorithms. This is common in food delivery and transport platforms, but also in warehouses, retail and even health and social care. Although there is no precise data on how many people are subject to what is known as "algorithmic management", we do know that a large percentage experience digital monitoring - meaning that software algorithms, rather than human supervisors, assign tasks, evaluate performance and monitor their work. This phenomenon is more common in Spain (34%) than the European average (27%).

Digital monitoring is more common in Spain (34%) than the European average (27%)

In the digital age, algorithms are playing a central role in work management, either replacing or complementing traditional human supervision. While this shift promises greater efficiency and flexibility, it also introduces new psychosocial risks for workers, such as increased stress and job insecurity. As algorithm-driven work management continues to expand, it is affecting millions of workers around the world. But what exactly does it mean, and how might it affect our health?

What is algorithmic management, and why does it have disruptive potential for the labor market and health?

Algorithmic management was first described in 2015 and gained prominence with the rise of digital work platforms, such as food delivery and transport services. These platforms are characterized by digital hyper-surveillance and punitive mechanisms, creating new occupational health risks.

One might wonder whether it really represents something new for occupational health, or whether it is simply a modern version of an extremely controlling and uncommunicative boss, designed to maximise efficiency

Algorithmic management involves the partial or complete replacement of functions traditionally performed by human supervisors—such as task assignment, performance evaluation, and feedback—with software algorithms. Despite the controversy surrounding the use of algorithms in digital platforms, this management model has expanded into more traditional sectors, a process known as the platformization of work.

Is algorithmic management the modern equivalent of an overly controlling boss in occupational health?

Despite the rise of algorithmic management, one might wonder whether it really represents something new for occupational health, or whether it is simply a modern version of an extremely controlling and uncommunicative boss, designed to maximise efficiency. In fact, Taylorism, developed in the late 19th and early 20th centuries, also aimed to increase productivity by breaking down tasks into precise steps, rigorously controlling workers' movements and continuously applying time and motion studies to optimise each action.

Algorithmic management can thus be seen as a 2.0 version of this approach, often referred to as digital Taylorism. The key difference is its reliance on digital technologies, which replace human supervision with automated monitoring by digital devices. This shift introduces new occupational health risks.

What is the relationship between algorithmic management and health?

Algorithmic management can increase efficiency and provide flexibility, but it also poses significant psychosocial risks for workers:

1. Increased pressure and stress due to constant monitoring and lack of autonomy, potentially leading to anxiety and burnout.
2. Job insecurity due to algorithmic control over tasks, payments and dismissals, which are often handled in an impersonal manner.
3. Reduced human interaction, which can lead to social isolation and lack of support at work.
4. Impersonal performance reviews, which limit career development opportunities by failing to take individual characteristics into account.
5. Algorithmic bias, which can lead to unfair or discriminatory decisions.

Despite these risks, algorithmic management also has the potential to deliver benefits if implemented correctly. More efficient task allocation can help reduce workload and improve work-life balance. Some algorithmic systems offer greater autonomy, allowing workers to manage their schedules or select tasks, which can increase job satisfaction and reduce stress by giving them more control over their working day. In addition, involving workers in the design of these algorithms has been shown to improve well-being.

Despite these risks, algorithmic management also has the potential to deliver benefits if implemented correct

So while the digitalisation of work poses health risks, it also has the potential to promote occupational health - if used responsibly.

What will we study?

We need empirical evidence on the use of algorithmic management and its impact on health. Understanding how this management approach affects health is crucial to identifying the aspects that need to be addressed and improved. This is the focus of the AM-MENTAL project.

In Spain, we will study the prevalence of algorithmic management in all economic sectors and identify the groups of workers most exposed to it. We will also assess its impact on psychosocial risks at work and its relationship with mental health.

Finally, through a co-creation process with social partners, we will develop practical recommendations for implementing algorithmic management in a way that minimises mental health risks for workers. We will also provide guidance on how to ensure the safe use of algorithmic management.