Algorithmic management is an increasingly common everyday phenomenon in various areas of life. Considering the rapid increase in the application of algorithms and algorithmic management, there is a clear need for appropriate regulation, both at the national level and at the level of the European Union. With acts such as the General Data Protection Regulation, the Artificial Intelligence Act and the Platform Work Directive, the European Union strives to more closely regulate algorithmic management and the consequences of such management on individuals and the community. The General Data Protection Regulation is intended to protect the personal data of European Union citizens, which correlates it with algorithmic management that can potentially threaten the privacy of personal data, and the need to regulate this type of management. The Artificial Intelligence Act also regulates algorithmic management in the context of classification of artificial intelligence systems based on degrees of possible risk. The Platform Work Directive deals with the regulation of the problem of the superiority of algorithms in the context of organization, supervision and management of work processes within digital work platforms that largely concern platform workers and their rights. At the Croatian national level, algorithmic management is regulated by the current Labour Act. Challenges in regulating algorithmic management include algorithmic complexity, lack of transparency, algorithmic bias and prohibition of discrimination, and the impact of algorithmic management on individual rights such as data privacy and freedom of expression.