Lawmakers from both political parties joined forces to question the Federal Deposit Insurance Corporation (FDIC) chairman over the course of two consecutive days. A recent report disclosed troubling accounts from FDIC employees, detailing instances of sexual harassment and discrimination against women, LGBTQ individuals, and minority groups. There were allegations that these individuals were hired merely to fulfill diversity quotas.
During the hearing, House Financial Services Committee Chairman Patrick McHenry criticized FDIC Chairman Martin Gruenberg, stating that he had failed his employees and the American public. He emphasized the need for a cultural overhaul within the agency. Senator Tim Scott also voiced his disapproval of Gruenberg’s leadership and called for his resignation.
Representative Maxine Waters expressed Congress’s dismay over the findings in the report, highlighting the failure of the FDIC to fulfill its responsibilities under both Republican and Democratic administrations.
The report included disturbing accounts from employees, such as inappropriate behavior by supervisors and instances of gender discrimination and harassment. Lawmakers like Senator Katie Britt and Senator J.D. Vance expressed outrage over the findings and raised concerns about the FDIC’s decision-making process.
While Senator Elizabeth Warren expressed concern over the situation, she stopped short of calling for Gruenberg’s resignation. Instead, she urged him to take responsibility for addressing the toxic culture within the FDIC. Gruenberg agreed to implement the recommendations provided to him, under Warren’s watchful eye.
It was mentioned that there would be further hearings on the matter in the future.
