Tuesday, July 16, 2024

OpenAI whistleblowers ask SEC to investigate the company’s non-disclosure agreements with employees


 An OpenAI logo is shown on May 29, 2024, in Los Angeles. OpenAI whistleblowers have filed a complaint with the Securities and Exchange Commission and asked the agency to investigate whether the company illegally restricted workers from speaking out about the risks of its artificial intelligence technology.(AP Photo/Marcio Jose Sanchez, File)


 July 15, 2024

NEW YORK (AP) — OpenAI whistleblowers have filed a complaint with the Securities and Exchange Commission and asked the agency to investigate whether the ChatGPT maker illegally restricted workers from speaking out about the risks of its artificial intelligence technology.

A letter to SEC Chair Gary Gensler representing “one or more anonymous and confidential” whistleblowers asks the agency to swiftly and aggressively enforce its rules against non-disclosure agreements that discourage employees or investors from raising concerns with regulators.

The July 1 letter references a formal whistleblower complaint recently filed with the SEC. The Washington Post was the first to report on the letter.

U.S. Sen. Chuck Grassley’s office shared a copy of the letter with The Associated Press, noting it was provided to his office by legally protected whistleblowers.

“OpenAI’s policies and practices appear to cast a chilling effect on whistleblowers’ right to speak up and receive due compensation for their protected disclosures,” said Grassley, an Iowa Republican, in a written statement. “In order for the federal government to stay one step ahead of artificial intelligence, OpenAI’s nondisclosure agreements must change.”


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OpenAI said in a statement that its policies protect employees’ rights to make protected disclosures. The company also noted that it’s already made changes to remove “nondisparagement terms” that could punish departing employees if they criticize the company after they leave.

SEC didn’t respond to a request for comment Monday and doesn’t typically comment on whether or not it is opening an investigation.

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