AI in human rights due diligence reporting monitoring: Evaluating regulatory design for effective compliance

Global supply chains present increased challenges for accountability, prompting the establishment of human rights due diligence regulations that require mandatory reporting. However, enforcement is often hindered by the sheer volume and complexity of the disclosures. This study explores possibilities for refining the regulatory framework to improve AI-assisted compliance monitoring. By analysing twelve key regulations comparatively, it uncovers barriers—both structural and content-related—to AI analysis, such as inconsistent disclosure formats and ineffective enforcement mechanisms. The paper presents actionable recommendations for improving regulatory design and bolstering AI effectiveness, including centralised registries, machine-readable formats, and enhanced regulatory oversight. Additionally, it addresses ethical concerns by advocating for human supervision in AI-assisted evaluations. These insights are valuable for vast stakeholders, such as policymakers, regulators, compliance experts, and civil society, seeking to enhance transparency and accountability in human rights. Additionally, they provide a foundation for integrating AI technology into legal compliance frameworks, shaping more efficient and effective oversight mechanisms.