OpenAI employee pay reached historic levels in December 2025, as the AI firm raised equity rewards to retain staff amid intense competition for researchers, according to The Wall Street Journal, highlighting how OpenAI salaries now exceed those of any tech startup before an IPO.
What changed in OpenAI employee pay
OpenAI currently employs about 4,000 people. Its average stock-based compensation now stands at roughly $1.5 million per employee. That level exceeds payouts disclosed by major tech firms before going public.
Data reviewed by The Wall Street Journal shows this figure is more than seven times higher than Google’s stock compensation in 2003, a year before its IPO. It is also around 34 times higher than the average across 18 large technology firms ahead of their listings.
How OpenAI salaries compare
Historical analysis of tech IPOs over the past 25 years shows stock-based compensation usually made up about 6 per cent of revenue before listing. By contrast, OpenAI expects equity payouts to reach 46 per cent of revenue in 2025. Only Rivian reported a comparable ratio, and it had no revenue before its IPO.
Investor documents shared earlier this year show OpenAI plans to raise stock compensation by nearly $3 billion annually through 2030.
Impact of the AI talent race
OpenAI increased equity payouts to senior researchers and engineers after rival firms intensified hiring.
Meta Platforms CEO Mark Zuckerberg offered packages worth hundreds of millions of dollars to AI executives and researchers.
More than 20 OpenAI employees moved to rival firms during this period, including a key ChatGPT contributor.
In response, OpenAI issued one-time bonuses to research and engineering staff in August, with some payouts worth millions.
Next phase for openAI employee pay
OpenAI has also ended a policy requiring employees to wait six months before equity vesting begins.
The change could further raise OpenAI employee pay levels.
Separately, founder Sam Altman announced a new “Head of Preparedness” role offering $555,000 in annual pay plus equity, focused on managing risks from advanced AI systems.
