Altman ends OpenAI’s “equity claw back” for ex-employees who criticize the company

May 20, 2024 Sam Altman, CEO of OpenAI, has addressed concerns regarding the company’s exit agreements, which reportedly included nondisparagement clauses that could threaten vested equity for departing employees. The issue came to light following the high-profile departures of AI safety researchers Jan Leike and Ilya Sutskever from the company.

According to reports by Vox News, the nondisparagement agreements would prevent former employees from criticizing OpenAI or even acknowledging the existence of such clauses. The revelation sparked a wave of scrutiny over OpenAI’s contractual practices, particularly regarding how they handle the rights and compensations of their workforce.

In response to the controversy, Altman took to social media platform X to clarify that while the clause was indeed part of the exit agreements, it has never been enforced to “claw back” any vested equity from former employees. He expressed embarrassment over the situation, admitting that he was unaware of the clause’s inclusion in the contracts and that it would be removed going forward.

The clarification comes amidst broader discussions in the tech community about corporate culture and the ethical management of AI development companies. Altman’s openness in addressing the issue reflects a move towards transparency, aligning with broader expectations of tech leaders to uphold high standards of governance and employee treatment. The change in policy marks a significant shift in how OpenAI will handle departures and equity agreements in the future.

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Picture of Jim Love

Jim Love

Jim Love's career in technology spans more that four decades. He's been a CIO and headed a world wide Management Consulting practice. As an entrepreneur he built his own tech business. Today he is a podcast host with the popular tech podcasts Hashtag Trending and Cybersecurity Today with over 14 million downloads. As a novelist, his latest book "Elisa: A Tale of Quantum Kisses" is an Audible best seller. In addition, Jim is a songwriter and recording artist with a Juno nomination and a gold album to his credit. His music can be found at music.jimlove.com
Picture of Jim Love

Jim Love

Jim Love's career in technology spans more that four decades. He's been a CIO and headed a world wide Management Consulting practice. As an entrepreneur he built his own tech business. Today he is a podcast host with the popular tech podcasts Hashtag Trending and Cybersecurity Today with over 14 million downloads. As a novelist, his latest book "Elisa: A Tale of Quantum Kisses" is an Audible best seller. In addition, Jim is a songwriter and recording artist with a Juno nomination and a gold album to his credit. His music can be found at music.jimlove.com

Jim Love

Jim is an author and podcast host with over 40 years in technology.

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