When AI Crosses the Line in Veterinary HR
HR Huddle columnist, Kellie G. Olah, answers your questions about the use of AI in practice management and flexibility in negotiating employee contracts.
Kellie G. Olah
Q:A manager admitted using artificial intelligence to help draft a performance improvement plan. Her prompt included the technician’s full name, performance history, attendance notes, and prior medical leave information. I’m concerned about what information might have been shared externally. We don’t currently have an AI policy. How serious is this situation, and what should we be doing now?
A: There is nothing wrong with using technology to organize thoughts or tighten up language. Where practices get into trouble is when managers or other team members start copying and pasting genuine employee information into platforms that were never vetted for confidentiality. A performance improvement plan is not just a memo — it often includes sensitive data.
Most public AI tools do not operate under the same privacy expectations as your payroll system or other internal software. Once identifiable employee information is entered, you may not fully control how it’s used or retained.
First, gather the facts. What platform was used? Was it a paid or free version? Exactly what information was entered? If protected information was included, you may be dealing with more than just a documentation issue.
After you understand the scope, focus on correcting the process. Managers need clear boundaries. AI can help with structure, tone, and grammar, but it should never receive identifiable employee data. If someone wants assistance drafting a PIP, the scenario should be stripped down to generic facts.
There is also a credibility issue to consider. PIPs are frequently reviewed in unemployment hearings, discrimination claims, and wrongful termination disputes. Imagine being asked under oath how the document was created and whether employee data was uploaded to an outside system. Even if the intent was harmless, the optics are not ideal.
This is not about disciplining a manager for trying to be efficient. It’s about installing guardrails before a small misstep becomes a larger compliance issue. Draft an internal policy that outlines what can and cannot be entered into AI tools. Train your leadership team. Reinforce that employment documentation carries legal weight.
echnology has a place in modern veterinary practice. However, HR documentation deserves the same level of care you would give to contracts, medical records, and payroll files.
A Simple AI Policy
Employees who use artificial intelligence as a support tool remain responsible for the accuracy, confidentiality, and integrity of the information they create, review, or distribute.
AI scribe platforms may be used to assist with drafting medical records if practice leadership approves the system and appropriate data security safeguards are in place. Clients must be informed when exam room conversations are being recorded, and consent must be documented in the medical record. AI-generated medical notes are considered drafts until reviewed, edited, and formally approved by the attending veterinarian. The veterinarian remains fully responsible for the content of the final record, including diagnoses, treatment plans, and documentation of informed consent.
Employees may use AI tools to assist with the general drafting of communications, educational materials, or administrative documents. The following may not be entered into public or unapproved AI platforms:
- Identifiable client information
- Patient medical records
- Employee personnel data, including compensation details, disciplinary records, or medical leave information
- Financial records
- Proprietary business information
The practice retains ownership of all medical and employment records, and employees must exercise sound judgment when interacting with any external software system.
AI tools may not be used to independently make medical decisions, determine employment actions, generate final disciplinary documentation without managerial review, or send unreviewed communications directly to clients. All externally facing communication must be reviewed by appropriate clinical or leadership staff prior to distribution.
The practice reserves the right to restrict, monitor, or discontinue the use of any artificial intelligence platform to ensure compliance with privacy, ethical, and professional standards. Because technology and regulatory guidance evolve, this policy will be updated as needed. Failure to comply with this policy may result in corrective action.
Q: We’re renewing our associate veterinarian contracts, which are fairly strandard. One doctor asked to renegotiate her fringe benefits. She wants more paid time off, a bigger continuing education allowance, and changes to the retention bonus if either party ends the agreement early. How flexible should we be with benefits in an employment agreement? I want to be fair and consistent, but I also don’t want to lose a strong doctor over something that might be negotiable.
A: Inconsistent benefits create far more long-term risk than a single negotiation ever will. Veterinary team members talk. They compare PTO, CE allowances, bonus structures, and repayment language. When differences exist without a clear, objective reason, the perception of unfairness spreads quickly. And once that perception takes hold, it’s difficult to reverse.
From an HR standpoint, the goal is structure, not rigidity. If two associates hold the same role, have similar tenure, and produce at comparable levels, yet one receives significantly more PTO or a higher CE allowance simply because they asked for it, that is inconsistency, not flexibility. Associates who did not negotiate will eventually learn about the difference, and they won’t be charitable in their conclusions. It will feel personal to them.
That doesn’t mean every associate must have identical benefits. A senior doctor who mentors new hires, carries administrative responsibilities, or consistently produces at a higher level may warrant increased PTO or CE funding. A candidate hired during an aggressive recruiting cycle may have negotiated stronger terms in response to market pressures. Those are defensible business decisions. The difference is they are tied to objective criteria rather than ad hoc negotiation.
Before responding to the doctor, review your current agreements and ask:
- Is paid time off structured around years of service?
- Is continuing education tied to role or performance expectations?
- Are retention bonuses prorated consistently, or do repayment provisions vary by contract?
If you laid the associate agreements side by side, would the differences make sense to an outside observer? If the answer is no, you might want to develop benefit bands. Define reasonable ranges for PTO, CE allowances, and bonus structures based on tenure, production, or scope of responsibility. Clarify what’s flexible within that range.
How you approach the repayment of retention bonuses deserves particular attention. Rigid or one-sided repayment provisions often become flashpoints. If one associate has prorated repayment and another is required to repay the full amount regardless of who terminates or why, that inconsistency will eventually undermine trust.
The financial impact of tightening your structure is usually small compared to the cost of losing a productive associate. Recruitment fees, onboarding time, signing bonuses, and lost production during a transition can quickly eclipse the expense of modest benefit adjustments. More importantly, inconsistent benefits quietly erode culture.
Employment agreements are not simply legal tools. They communicate how a veterinary practice defines value, fairness, and commitment. When benefits are inconsistent without explanation, the message to employees is that the terms depend on who negotiates the hardest rather than on clear standards.
The objective is not to eliminate flexibility. It is to ensure that flexibility operates within a framework that is fair, defensible, and aligned with your practice’s compensation philosophy. When that structure is in place, contract discussions become constructive rather than destabilizing.
