OpenClaw founder slams Europe’s “paralyzing labor regulations”

Peter Steinberger, the founder of OpenClaw, has criticized stringent European regulations and labor laws as he prepares to relocate to the United States.

Autonomous artificial intelligence (AI) assistant OpenClaw, previously known as Clawdbot and Moltbot, has taken the world by storm in recent weeks for both its capabilities and associated risks.

Steinberger, OpenClaw’s founder and an Austrian national, was recently hired by OpenAI and will relocate to the United States.

In a discussion on social network X about Europe’s struggles to retain tech talent, Steinberger detailed the problems he faced as a founder.

“In the USA, most people are enthusiastic. In Europe, I get insulted, people scream REGULATION and RESPONSIBILITY,” he wrote.

Steinberger said building a company in Europe is challenging due to investment protection laws, employee co-determination, and “paralyzing labor regulations.”

“At OpenAI, most people work six to seven days a week and get paid accordingly. With us, that’s illegal,” he added.

Europe is struggling to retain its tech talents, despite having top-class universities and leading researchers. For instance, 35% of all AI-related Master programs globally are offered by European universities and research centers.

However, 18% of seasoned founders – those who have held C-suite roles at leading tech companies – had headquartered their startups in the US, according to the State of European Tech 2025 report.

The report states that while not all of them personally relocated, they at least increased their preference to incorporate in the US, “where company formation is faster, cheaper, and often a gateway to US customers and investors.”

Access to capital and customers remain the major reasons why founders choose to move overseas. However, 41% of founders who already relocated cited the regulatory environment, and 24% said they sought better access to talent.

At the same time, the European Union has some of the most stringent AI regulations in the world. The AI Act, which came into force in 2024, establishes a risk-based AI classification system that critics say creates a hostile environment for AI enterprises.

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