For my part, I'm delighted to have the opportunity to try and create some distinctive imagery for SI. I've been fortunate enough to have what I think are some good ideas. And now I can be confident that SI will have a logo at least as good as the one I designed! Also, I'm using this as the perfect excuse to finally learn how to use Inkscape; that will be sufficient remuneration for my efforts. (I vaguely agree with the general point about contests tending to devalue labour, though.)
If you have graphic design experience, check out the on-going logo design competition at 99designs for the Singularity Institute. There are still 6 days left to enter and be eligible to win the $295 prize if your design is selected. Tell your friends with graphic design experience too. There are very few submissions currently.
Note: This is a blind contest. Designers can only see their own entries. All designs will be revealed when the contest ends.
If you're interested at getting a peek at the designs, they will be online after the competition is over. This is standard practice in 99designs contests to prevent designers from contaminating each other and having all the designs drift in a certain direction.