Whistleblowers urge SEC to investigate OpenAI for using NDAs to silence employees
From Bloomberg.: 2024-07-17 03:55:38
OpenAI whistleblowers have urged the SEC to investigate the company for potential rule violations. The whistleblowers claim that OpenAI used NDAs to silence employees, preventing them from speaking out. The letter was sent to SEC chair Gary Gensler and Sen. Chuck Grassley. OpenAI employees have raised concerns about the company’s practices, with several former and current employees signing an open letter calling for greater transparency and whistleblower protections in major AI firms. Sam Altman, head of OpenAI, said he was not aware of certain practices within the company, including the taking back of vested equity from employees. William Saunders, a former OpenAI employee, quit due to concerns about AI risks and spoke out about the company’s practices. The whistleblowers’ complaint is backed by documentation provided to the SEC, alleging that OpenAI’s NDAs violated SEC rules. The SEC must take action to enforce rules against illegal NDAs in the AI sector, as well as ensure there are no violations of relevant laws. The whistleblowers’ goal is to protect employees working on AI technology and ensure that concerns can be raised with federal authorities without fear of retaliation. The SEC has precedent in taking action against companies with illegal NDAs, and the whistleblowers are calling for an investigation into OpenAI’s practices. The hope is to create a workplace culture where employees are aware of their rights to report wrongdoing and receive protection as whistleblowers.
Overall, the whistleblowers’ complaint to the SEC alleges that OpenAI violated SEC rules with its use of NDAs to silence employees. This has sparked a call for investigation and enforcement actions to ensure that employees working on AI technology are protected and can raise concerns with authorities without fear of retaliation. The whistleblowers have provided documentation to support their claims, and are seeking to change the culture at OpenAI to one that encourages transparency and accountability. The SEC is being asked to take swift and aggressive action to enforce rules against illegal NDAs in the AI sector and protect whistleblowers in the technology industry. The goal of the whistleblowers is to ensure employees are aware of their rights and can speak out without facing negative consequences.
Read more at Bloomberg.: Read the letter OpenAI whistleblowers sent to the SEC calling for action on NDAs