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OpenAI to pay $3.2 million to settle U.S. hiring discrimination claims
The Justice Department said OpenAI also agreed to revise its recruiting policies, provide training, and allow government monitoring.
OpenAI and a subsidiary will pay $3.2 million to settle U.S. government claims that the companies favored foreign workers using temporary employment visas while discriminating against U.S. job applicants during recruiting and hiring, the U.S. Justice Department said Tuesday.
According to the department, OpenAI and Statsig, which makes product development software, recruited foreign workers for certain open positions and took steps meant to discourage U.S. workers from applying. Those steps included requiring U.S. applicants to mail paper applications rather than submitting electronically, advertising jobs on the radio late at night, and not posting openings on an external website.
The Justice Department alleged OpenAI and Statsig violated the federal Immigration and Nationality Act, which bars discrimination based on citizenship. In the settlement, the department said the companies will pay $1.2 million in penalties and $2 million to compensate alleged victims of discrimination.
OpenAI denied wrongdoing in the settlement agreement. The department said the settlement, involving fewer than 10 positions, reflected the harm it alleged and included commitments to revise employment policies, conduct training, and be subject to monitoring by the Justice Department.