It could be even worse if it becomes self-reinforcing. One could see this being developed in a way that "allows HR to make better decisions", and let's say it p

It could be even worse if it becomes self-reinforcing. One could see this being developed in a way that "allows HR to make better decisions", and let's say it predicts purple people with yellow spots have a tendency to steal. Which of course will lead to exactly what it predicts. And we all know HR departments would gladly use stuff like this. Especially for the jobs where it would matter most: underpaid entry-level jobs that a lot of people get as either a last resort or a first job.