AI

Sam Altman addresses 'potential equity cancellation' in OpenAI exit agreements after 2 high-profile departures

Sam Altman sits in front of a blue background, looking to the side.
Sam Altman. Andrew Caballero-Reynolds/AFP/Getty Images
Read in app

OpenAI employees who left the company without signing a non-disparagement agreement could have lost vested equity if they did not comply — but the policy was never used, CEO Sam Altman said on Saturday.

Vox News first reported on the exit contract terms following the high-profile exits of two AI safety researchers at the company: Superalignment co-lead Jan Leike and cofounder and former Chief Scientist Ilya Sutskever.

Both Sutskever and Leike left on Tuesday. Though he did not speak about the reasons behind his sudden departure, Business Insider previously reported that Sutskever, an OpenAI board member, had been in limbo after his attempt to oust Altman as CEO.

Leike kept mum until Friday morning when he said he left because OpenAI's "safety culture and processes have taken a backseat to shiny products."

Vox reported on Friday that their silence could have been due to a nondisparagement agreement forbidding former employees from criticizing the company — and from even acknowledging the existence of the NDA.

On Saturday, Altman confirmed that the contract was real — but said the company has never "clawed back anyone's vested equity." He also said that moving forward, the company would no longer include that clause on exit paperwork.

"this is on me and one of the few times i've been genuinely embarrassed running openai; i did not know this was happening and i should have," Altman wrote on X.

BI previously reported that OpenAI's employee compensation includes a flat base salary of $300,000 alongside a yearly grant of around $500,000 in PPUs, or profit participation units, a form of equity compensation.

OpenAI did not immediately respond to a request for comment from Business Insider.

Hannah Getahun was a reporter for Business Insider's West Coast team covering just about everything, including national politics, social justice, pop culture, science, and technology. She graduated from California State University, Long Beach with a bachelor's degree in journalism and a minor in environmental science and policy. Before joining Insider, she interned at CalMatters writing health and environment stories.Story highlights: Beyoncé wore statement shades throughout the Renaissance World Tour and played a part in making them cool againThe photographer who captured people occupying subway tracks for a Black man killed in the 1980s says history came 'full circle' after protesters did the same for Jordan Neely'I would die': People with disabilities say abortion bans could have fatal consequencesOfficer response in Jayland Walker shooting was 'overkill,' use-of-force expert says: 'The police officers involved determined that his life wasn't worthy to be preserved.'She helped raise $2 million for abortion funds by calling out Matt Gaetz: Meet Olivia Julianna, a Gen Z activist who has inspired copycat fundraisersAmerican car culture is changing thanks to younger generations. But Gen Z and Millennials see vehicle ownership much differently.It's not just you: Cybercriminals are also using ChatGPT to make their jobs easierOrca whales were discovered with a toilet paper chemical in their livers and skeletal muscles. It's just the 'tip of the iceberg' for one of the most contaminated marine mammals in the world.