This systematic literature review examines the implications of Artificial Intelligence (AI) on employee privacy in organizational settings. The study assesses the compromise or safeguarding of privacy by AI technologies, explores the costs and benefits of AI adoption regarding employee privacy, and discusses the impact of advancing AI algorithms on employee privacy. Using the privacy calculus framework, the paper highlights the trade-offs organizations face in managing employee privacy amid AI integration. By navigating the evolving landscape of AI technologies, the research identifies challenges and opportunities, offering valuable insights for academics and practitioners. The review serves as a roadmap for future research, contributing to the understanding of AI's impact on employee privacy.