US Congressmen Demand Briefing on FDIC Culture

Earlier this week, The Wall Street Journal published an article outlining allegations of a "toxic atmosphere" rife with harassment and partying at the US Federal Deposit Insurance Corporation (FDIC). Following these revelations, three Republican Congressmen on the House Committee on Financial Services — Patrick McHenry, Bill Huizenga, and Andy Barr — have sent a letter to the FDIC's Office of the Inspector General (OIG) demanding a briefing on the agency's workplace culture.

"Numerous disturbing allegations have been made regarding the Federal Deposit Insurance Corporation's (FDIC) workplace culture," the letter reads. "Reports allege that the agency maintains a culture that perpetuates sexual harassment, misogyny, and other acts of misconduct – a severe departure from the agency's effective operations to execute its mission."

The Congressmen refer to a July 2020 report by the OIG, which concluded that the "FDIC had not established an adequate sexual harassment prevention program." This, they believe, highlights a longstanding pattern of an "unsafe work environment" and a failure on the part of FDIC leadership to take corrective action.

"The Committee on Financial Services (Committee) takes these allegations very seriously, and any misconduct must be addressed," the Congressmen write. "This Committee not only has a duty to oversee the execution of the laws by the Administration, but we must also ensure that civil servants of our financial regulators are able to perform their duties without fear of harassment or retaliation."

The letter requests that the OIG brief the Congressmen on its investigative efforts into these matters by November 27, 2023.

Earlier this year, Starling Insights published "The Era of Accountability," a Deeper Dive report discussing a global trend of employees in every industry holding their employer accountable for conduct that does not align with their own values. In a Preamble therein, Jamie Fiore Higgins, author of Bully Market: My Story of Money and Misogyny at Goldman Sachs, offers a harrowing recounting of the pressures and outright abuses she suffered during a long career at Goldman Sachs.