
Why An Inspiring Mission Beats Pay When Recruiting Tech Talent
Sam Altman fired back at the departure of four OpenAI researchers by emphasizing that purpose, culture, and mission will win in the long run over compensation. These four researchers left OpenAI for Meta, some with reported compensation packages up to $300 million over four years. In the long run, talent wars are not won at the bank, but in the hearts and dreams of the people who choose to stay.
Meta's recent investment of $14.5 billion for 49% percent in Scale AI shows the company is racing to do whatever it takes to build AI super intelligence. Scale AI Chief Executive Alexandr Wang will become a member of a newly established AI research laboratory at Meta, with the aim of advancing "super intelligence." One of the near-term objectives is to use AI to offer fully automated advertising campaigns. Since advertising was 95% of Meta's total income in 2024, Meta will be motivated to poach whatever talent it needs to meet its near term and long-term AI goals.
Tech talent compensation packages soaring
Initially, Meta's compensation packages to AI researchers seemed to be on a par with NFL sports, but in fact, they have exceeded them. As a New York Giants fan, I enjoy tracking the 2025 draft. For example, the number 3 draft pick, Abdul Carter, recently signed a four-year contract valued at $84.7 million, far shy of the reported Meta compensation package.
As an HR consultant to both Fortune 500 firms and start-ups over the past 25 years my question is this; will pay win out over purpose and for how long?
Sam Altman made a compelling business case to stay and Open AI's chief research officer, Mark Chen, made the visceral argument that 'it feels like someone broke into my house and stole something from me,' But how will OpenAI restructure compensation, rewards, recognition and commitment to learning and development to create an enduring reason to stay at OpenAI? Four suggestions for retaining talent
Companies recruiting in a talent war like the one we are witnessing, should be looking for a sustainable path forward. They should consider the following:
Stress the mission and purpose continuously with new hires and current employees
Employees are looking for purpose and meaning in work especially since they spend on average of 90,000 hours working over their lifetime and this can reach up to 150,000 hours for those in the tech space. Monster's research found 74% of Gen Z workers prioritize purpose over a paycheck. Companies frequently fail to communicate their purpose and mission often enough and this is vital for retaining talent.
Offer routine wellness breaks
Wellness breaks are crucial for maintaining productivity, reducing stress, and improving overall well-being at work. OpenAI does have a paid sabbatical program, but it is after five years of service. Is this even a benefit when the average turnover at OpenAI is less than one year? The key is to build a culture of wellness rather than offer sporadic wellness breaks during the year.
Support autonomy for employees
Building a culture of trust and autonomy will drive talent retention. Autonomy in the workplace allows employees the freedom to work in a way that suits them while delivering on their objectives. No one wants to work for a micromanager. Workplace autonomy needs to be cultivated through culture and norms and ultimately can improve job satisfaction, engagement, and retention by encouraging empowered decision making.
Make continuous learning and recognition part of the company culture
Gallup and Workhuman research show that effective employee recognition, which is genuine, fair, and tailored to individual employees, improves motivation and job retention. Beyond recognition, companies need to craft a compensation package to give employees meaningful ownership, a work environment that vales their time and invest in their on-going development. The current OpenAI stipend for employee learning and development is $1,500 per year. This is inadequate given the unprecedented pace and scope of change in AI. Consider creating the Altman award for breakthroughs in AI research.
Remember the movie, The Shawshank Redemption?
OpenAI needs to prove Morgan Freeman's character Red wrong when he says, "Some birds aren't meant to be caged. Their feathers are just too bright.' The companies that will shape the future of AI are those that give their teams a reason to stay and see their ambitions and dreams come to life.
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
12 minutes ago
- Yahoo
Kosmos Energy (KOS) Soars 7.7% Ahead of Q2 Earnings
We recently published . Kosmos Energy Ltd. (NYSE:KOS) is one of the best-performing stocks on Monday. Kosmos Energy saw its share prices increase by 7.66 percent on Monday to close at $2.39 apiece as investors repositioned portfolios ahead of its earnings release next week. According to the company, it is scheduled to release the results of its financial and operating highlights on August 4, 2025. An investor call will be held on the same day to elaborate on the results. Based on its guidance announced earlier this year, Kosmos Energy Ltd. (NYSE:KOS) said it was targeting to produce between 66,000 and 72,000 barrels of oil per day (boe/d) for the second quarter of the year, and between 70,000 to 80,000 boe/d for full-year 2025. In the first quarter alone, the company was able to produce 60,500 boe/d. Copyright: Elnur / 123RF Stock Photo Also in the first quarter, Kosmos Energy Ltd. (NYSE:KOS) swung to a net loss of $110.6 million from a $91.7 million net income in the same period last year. Total revenues and other income ended at $290 million, lower by 31 percent than the $419 million in the same period last year. While we acknowledge the potential of KOS as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the .
Yahoo
12 minutes ago
- Yahoo
PagerDuty (PD) Climbs 7% on Analyst Upgrade, Sale Reports
We recently published . PagerDuty, Inc. (NYSE:PD) is one of the best-performing stocks on Monday. PagerDuty rallied for a second day on Monday, adding 7.06 percent to close at $16.83 apiece as investors took heart from an analyst upgrade and news that it was exploring a sale. In its market note, investment firm TD Cowen raised its price target and recommendation for PagerDuty, Inc. (NYSE:PD) to $22 from $17 and to 'buy' from 'hold' previously. This followed a report by Reuters on Friday, quoting sources privy to the matter, that PagerDuty, Inc. (NYSE:PD) was exploring a potential sale after receiving interest from buyers. Reuters said PagerDuty, Inc. (NYSE:PD) is currently working with Qatalyst Partners to facilitate the potential acquisition, and that investment bankers are now soliciting further buyer interest. Copyright: stokkete / 123RF Stock Photo According to TD Cowen, Qatalyst Partners has a strong track record of facilitating software mergers and acquisitions, adding that many of its facilitated transactions resulted in sales over the years. PagerDuty, Inc. (NYSE:PD) is a California-based software maker that helps businesses monitor their IT systems and respond to cyber incidents and outages. While we acknowledge the potential of PD as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the . Sign in to access your portfolio
Yahoo
12 minutes ago
- Yahoo
SES AI (SES) Soars 15% on Reaffirmed Growth Outlook
We recently published . SES AI Corporation (NYSE:SES) is one of the best-performing stocks on Monday. SES AI jumped by 15.25 percent on Monday to close at $1.36 apiece as investors cheered its reaffirmation of growth guidance for full-year 2025 and release of preliminary earnings results. In the second quarter of the year, SES AI Corporation (NYSE:SES) said it expects to report $3.5 million in revenues for the second quarter of the year, pushing its first-half revenue to $9.3 million. The company is scheduled to release official results after market close on August 4, 2025, followed by a conference call later in the day. Following the preliminary results, SES AI Corporation (NYSE:SES) affirmed its year-end revenue target of $15 million to $25 million. In a separate statement, SES AI Corporation (NYSE:SES) announced plans to fully acquire energy storage systems provider UZ Energy for $25.5 million. UZ Energy specializes in designing and manufacturing ESS products for commercial and industrial applications. It has deployed over 500 MWh of ESS safely in over 60 countries with zero incidents. Photo by Kumpan Electric on Unsplash 'AI data centers in the US are on track to triple their share of national electricity usage by 2028. This acquisition of UZ Energy launches us into this exciting market, accelerates our revenue growth, and strengthens our Molecular Universe's ability to deliver better ESS battery materials and health monitoring systems by providing real-world data to train our models,' said SES AI Corporation (NYSE:SES) founder and CEO Qichao Hu. While we acknowledge the potential of SES as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the . Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data