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This paper reframes LLM-generated reward shaping as an iterative debugging process rather than a one-shot generation task, specifically addressing failure modes like reward flooding and semantic misunderstandings in sparse reinforcement learning environments. By introducing a diagnostic-driven refinement strategy with a structured taxonomy, the authors demonstrate significant performance gains on complex tasks while clarifying that these improvements rely heavily on specific prompting mechanisms rather than generic model retries or additional training. The study provides critical insights into the calibration limits of current models when applied to continuous control and highlights the necessity of reliable structured interfaces for this approach to succeed.
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When LLM Reward Design Fails: Diagnostic-Driven Refinement for Sparse Structured RL

arXiv3 min read

arXiv:2605.28918v2 Announce Type: replace-cross Abstract: For sparse, structured reinforcement-learning tasks with semantic reward-function interfaces, LLM-generated reward shaping is better framed as debugging than one-shot generation. We study PPO-trained agents using MiniGrid as core evaluation and MuJoCo reaching/locomotion as boundary stress tests. Our qualitative audit finds two recurring one-shot failure modes -- reward flooding and semantic/API misunderstanding -- and a rarer, less reliably distinguished weak-shaping case. We propose diagnostic-driven iterative refinement, using training diagnostics and a failure-mode taxonomy to guide reward-function revision. On sparse structured tasks with diagnosable reward failures, refinement improves DoorKey-8x8 from 2.3% success without shaping to 97.6%, and KeyCorridor from 31.2% one-shot to 86.7% with high seed-to-seed variance. Controls show these gains are not from generic retrying or extra training alone: metrics-only re-prompting causes large drops, while a static-vocabulary control recovers much of the gap. Thus taxonomy prompting is a major mechanism, with only partially isolated incremental evidence for dynamic labels. In prompt-matched comparisons across Haiku 4.5, Opus 5, and DeepSeek V4 Pro, effects depend on task and model; none of the six contrasts survives family-wise correction. A four-call, episode-budget-matched population control is also competitive. Component-removal and sensitivity tests reveal calibration limits. In continuous control, success-based diagnostics can misfire in dense-reward locomotion; return-trend feedback removes one false-positive mechanism without robust locomotion gains. The method is bounded to sparse structured tasks with reliable structured interfaces under PPO training.

Abstract:For sparse, structured reinforcement-learning tasks with semantic reward-function interfaces, LLM-generated reward shaping is better framed as debugging than one-shot generation. We study PPO-trained agents using MiniGrid as core evaluation and MuJoCo reaching/locomotion as boundary stress tests. Our qualitative audit finds two recurring one-shot failure modes -- reward flooding and semantic/API misunderstanding -- and a rarer, less reliably distinguished weak-shaping case. We propose diagnostic-driven iterative refinement, using training diagnostics and a failure-mode taxonomy to guide reward-function revision. On sparse structured tasks with diagnosable reward failures, refinement improves DoorKey-8x8 from 2.3% success without shaping to 97.6%, and KeyCorridor from 31.2% one-shot to 86.7% with high seed-to-seed variance. Controls show these gains are not from generic retrying or extra training alone: metrics-only re-prompting causes large drops, while a static-vocabulary control recovers much of the gap. Thus taxonomy prompting is a major mechanism, with only partially isolated incremental evidence for dynamic labels. In prompt-matched comparisons across Haiku 4.5, Opus 5, and DeepSeek V4 Pro, effects depend on task and model; none of the six contrasts survives family-wise correction. A four-call, episode-budget-matched population control is also competitive. Component-removal and sensitivity tests reveal calibration limits. In continuous control, success-based diagnostics can misfire in dense-reward locomotion; return-trend feedback removes one false-positive mechanism without robust locomotion gains. The method is bounded to sparse structured tasks with reliable structured interfaces under PPO training.

Published in Transactions on Machine Learning Research (TMLR), 2026. 32 pages. Final published version: this https URL

Machine Learning (cs.LG); Artificial Intelligence (cs.AI); Information Retrieval (cs.IR)

arXiv:2605.28918 [cs.LG]

(or arXiv:2605.28918v2 [cs.LG] for this version)

https://doi.org/10.48550/arXiv.2605.28918 Focus to learn more arXiv-issued DOI via DataCite

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Full text under the publisher's open licence · 339 words

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