OpenAI entered into restrictive pacts with staff, say whistleblowers

The AI major’s agreements reportedly had overly restrictive employment, severance and non-disclosure clauses, allowing it to penalize workers who raised concerns with federal authorities.

A complaint against OpenAI’s allegedly “systemic” legal violations and restrictive non-disclosure agreements has been filed with the US Securities and Exchange Commission, The Washington Post reported late on Saturday.

“Given the well-documented potential risks posed by the irresponsible deployment of AI, we urge the Commissioners to immediately approve an investigation into OpenAI’s prior NDAs, and to review current efforts apparently being undertaken by the company to ensure full compliance with SEC rules,” Reuters reported the whistleblowers’ letter to the SEC as saying.

According to the letter, OpenAI allegedly made its employees sign agreements that required them to waive their federal …

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Disha Acharya

Disha is a writer at The Morning Context. She has previously worked at the digital production desk of Reuters. Prior to that, she was a sub-editor at Deccan Herald.

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disha@mailtmc.com

Bengaluru