From Rebound to Remedy: Understanding and Mitigating Reward Hacking via Representation Engineering

Reward hacking is a form of misalignment in which models overoptimize proxy rewards without genuinely solving the underlying task. Precisely measuring reward hacking occurrence remains challenging because true task rewards are often expensive or impossible to compute. We introduce Countdown-Code, a minimal environment where models can both solve a mathematical reasoning task and manipulate the test harness. This dual-access design creates a clean separation between proxy rewards (test pass/fail) and true rewards (mathematical correctness), enabling accurate measurement of reward-hacking rates. Using this environment, we study reward hacking in open-weight LLMs and find that such behaviors can be unintentionally learned during supervised fine-tuning (SFT) when even a small fraction of reward-hacking trajectories leak into training data. As little as 1% contamination in distillation SFT data is sufficient for models to internalize reward hacking which resurfaces during subsequent reinforcement learning (RL). We further show that RL amplifies misalignment and drives its generalization beyond the original domain. We open-source our environment and code to facilitate future research on reward hacking in LLMs. Our results reveal a previously underexplored pathway through which reward hacking can emerge and persist in LLMs, underscoring the need for more rigorous validation of synthetic SFT data. Code is available at https://github.com/zohaib-khan5040/Countdown-Code.

As models scale, reward hacking becomes more frequent, more sophisticated, and more consequential. Does it leave a telltale signature in model representations? This work analyzes how reward hacking is represented internally in frontier open source LLMs, and how those representations can be used to understand and discover the range of hacking behaviors a model displays. In particular, we find that simple difference of means vectors coherently represent reward hacking in Kimi K3, GLM 5.2, and Qwen 3.8 Max across a variety of behaviors in common evaluations. Despite their simplicity, these vectors are both generalizable and interpretable, and we can use them to reliably detect reward hacking. We first evaluate reward hacking in commonly reported benchmarks like DeepSWE and SWE-bench, finding that models reward hack excessively in these environments; GLM 5.2 hacks in 57.2% of rollouts on DeepSWE and in 73% of rollouts on SWE-bench. Catching these requires monitors; LLM monitors are effective, but expensive detectors. We show that DoM vectors are similarly effective but virtually free, catching 3.1% more hacks in Kimi K3 and 7.9% fewer hacks in GLM 5.2 on DeepSWE at a monitor matched false positive rate. DoM vectors run on the chain-of-thought also predict reward hacks in the model's subsequent actions, meaning we can run them online and catch potential hacks before they occur. Finally, we analyze probe-hits that LLM monitors do not catch and discover other undesirable behaviors, as well as show transfer to finding hacks in non-SWE evaluations. Together, these results provide evidence that simple, white-box methods can be used to scalably study and monitor reward hacking behaviors in frontier open source models

During reinforcement learning with verifiable rewards (RLVR), large language models (LLMs) can exploit loopholes in their environments to obtain high rewards without improving the intended capabilities, i.e., reward hacking. Despite its risks to training efficiency and safety, monitoring and mitigating reward hacking during training remain challenging, which is limited by a lack of testbeds that reproduce hacking and reliably identify it. We introduce CATCH, a controllable testbed for studying reward hacking in coding RL. CATCH deliberately exposes environmental loopholes and provides execution-based gold labels by comparing success under a vulnerable evaluator with task correctness under an independent audit. It also can control the model's initial hacking tendency through supervised fine-tuning data mixtures and the difficulty of earning rewards through reward designing, enabling systematic comparisons of hacking dynamics and interventions. Experiments show that CATCH can produce diverse RL training trajectories with clear reward hacking, and analyses demonstrate that both initial models and reward difficulties shape the emergence of reward hacking. We further evaluate the effectiveness of different reward hacking detection and mitigation methods. A key finding is that a chain-of-thought monitor initially suppresses hacking, but this protection erodes as the policy model learn to mislead the monitor with code comments. This highlights the need to evaluate hacking mitigations throughout training with CATCH. The source code and resources are publicly released at https://github.com/THUAIS-Lab/CATCH.