OpenAI under scrutiny for threatening equity revocation over NDA disputes
- OpenAI faced backlash for including a clause in exit agreements that threatened equity revocation if employees did not sign NDAs.
- Sam Altman acknowledged the provision but stated it will be removed moving forward.
- The controversy surrounding OpenAI highlights the importance of fair employee practices in tech companies.
OpenAI, the company behind ChatGPT, recently made changes to its exit contract. This contract previously stated that ex-employees could lose their vested equity if they spoke negatively about the company. Vox News reported this information, stating that employees risked losing millions of dollars in vested equity if they did not sign a non-disclosure and non-disparagement agreement. The CEO of OpenAI, Sam Altman, acknowledged the existence of this contract but clarified that the company had never actually taken away anyone's vested equity. He admitted that he was unaware of this provision and apologized for the situation. Altman mentioned that they were working on updating the paperwork and encouraged former employees to reach out if they had concerns. The news of these contract changes came after two notable employees, including a co-founder and a chief scientist, left OpenAI without providing specific reasons. One employee publicly shared that they left due to concerns about the company's approach to safety and responsibility. Although the contract included a clause that could lead to the loss of vested equity if employees did not sign certain agreements, Altman assured that this clause was never enforced. He emphasized that the company was in the process of revising the exit paperwork to address these issues. In summary, OpenAI faced scrutiny over its exit contract terms that potentially risked employees' vested equity. The CEO acknowledged the oversight, clarified that no equity had been revoked, and assured that they were working to rectify the situation for former employees.