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    Home / News / Business News / OpenAI to alter paperwork, scrap controversial nondisparagement agreement with employees
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    OpenAI to alter paperwork, scrap controversial nondisparagement agreement with employees
    Didn't know that the provision existed: Sam Altman

    OpenAI to alter paperwork, scrap controversial nondisparagement agreement with employees

    By Akash Pandey
    May 24, 2024
    11:51 am
    What's the story

    OpenAI has ceased enforcing nondisparagement agreements previously signed by its former employees. The company informed Bloomberg of the same, following the recent criticism of its practices. OpenAI's CEO, Sam Altman, has publicly expressed his embarrassment over the existence of the nondisparagement agreement. He pledged to modify the company's exit paperwork accordingly. The company has also decided to remove this language from its exit paperwork.

    Information

    About the nondisparagement agreement

    The controversial agreement had been forcing outgoing employees to choose between their right to criticize the company and retaining their vested equity. The agreement could potentially cost employees millions if they chose not to sign it or violated its terms.

    Employee assurance

    OpenAI assures retention of vested units

    OpenAI has communicated to its former employees that the company will not cancel any vested units, regardless of whether they have signed the nondisparagement agreement. The company also clarified that former workers were released from the agreement unless it was mutual. However, it remains unclear if an employee (Daniel Kokotajlo) who lost his vested equity by refusing to sign will get it back.

    Scenario

    Controversies extend beyond the agreement

    OpenAI has recently faced other controversies as well. The company announced its decision to disband a team formed last year aimed at safeguarding humanity from future AI systems. This revelation was preceded by the departure of OpenAI's chief scientist and one of the team's leads, Ilya Sutskever. Another team lead, Jan Leike, who resigned from the company criticized it for prioritizing "shiny products" over safety culture and processes.

    Voice controversy

    OpenAI denies misuse of Scarlett Johansson's voice

    In another incident, actor Scarlett Johansson accused OpenAI of using her voice without permission for ChatGPT's Sky voice assistant. This accusation came after she declined a request from Altman to lend her voice to the company. In response, OpenAI denied copying Johansson's voice and stated that another actor was hired before Altman contacted Johansson.

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