Employees are accidentally leaking company data through ChatGPT, report warns
2025-10-10
MoneyControl
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A study by LayerX Security found that 77% of employees paste sensitive company data, including PII and payment card information, into generative AI tools like ChatGPT, often using unmanaged personal accounts. This widespread practice exposes organizations to significant data leaks, regulatory violations, and compliance risks.[AI generated]
Why's our monitor labelling this an incident or hazard?
The event explicitly involves AI systems (generative AI tools such as ChatGPT and Microsoft Copilot) whose use by employees has directly led to data leaks. These leaks represent a breach of confidentiality and intellectual property rights, which are protected under applicable laws. The harm is realized and ongoing, as the report states these leaks are now the leading source of workplace data leaks and often go unnoticed by security systems. Therefore, this qualifies as an AI Incident due to the direct link between AI system use and harm to company data and rights.[AI generated]