{"id":28083,"date":"2024-05-08T13:15:23","date_gmt":"2024-05-08T13:15:23","guid":{"rendered":"https:\/\/one.sightlinemg.com\/federaltimes\/uncategorized\/2024\/05\/08\/fdic-fostered-misogynistic-patriarchal-workplace-report-finds\/"},"modified":"2026-08-08T05:09:54","modified_gmt":"2026-08-08T05:09:54","slug":"fdic-fostered-misogynistic-patriarchal-workplace-report-finds","status":"publish","type":"post","link":"https:\/\/one.sightlinemg.com\/federaltimes\/fedlife\/2024\/05\/08\/fdic-fostered-misogynistic-patriarchal-workplace-report-finds\/","title":{"rendered":"FDIC fostered \u2018misogynistic,\u2019 \u2018patriarchal\u2019 workplace, report finds"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">(AP) \u2014 An independent review of the <a href=\"https:\/\/apnews.com\/hub\/federal-deposit-insurance-corporation\">Federal Deposit Insurance Corp.<\/a> \u2018s workplace culture describes an environment that fostered \u201chostile, abusive, unprofessional, or inappropriate conduct,\u201d and questions whether the agency\u2019s chairman is credible to lead the agency through a cultural transformation.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.fdic.gov\/sites\/default\/files\/2024-05\/cleary-report-to-fdic-src.pdf\">The report released Tuesday<\/a> by law firm Cleary Gottlieb Steen &amp; Hamilton outlines incidents of stalking, harassment, homophobia and other violations of employment regulations.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The incidents span from field offices to headquarters in Washington, and \u201carose within a workplace culture that is \u2018misogynistic,\u2019 \u2018patriarchal,\u2019 \u2018insular,\u2019 and \u2018outdated\u2019 \u2014 a \u2018good ol\u2019 boys\u2019 club where favoritism is common, wagons are circled around managers, and senior executives with well-known reputations for pursuing romantic relations with subordinates enjoy long careers without any apparent consequence,\u201d the report states.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">More than 500 workers reported incidents of harassment, discrimination and other issues.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Examples of the worker complaints included a woman stalked by a coworker who was continually harassed even after complaining about his behavior; a field office supervisor referring to gay men as \u201clittle girls\u201d; and a female field examiner describing receiving a picture of an FDIC senior examiner\u2019s private parts.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The report comes after the Wall Street Journal last November published an investigation that outlined details of the agency\u2019s workplace culture. The FDIC\u2019s board then ordered the independent review<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">FDIC Chairman Martin Gruenberg\u2019s behavior is also examined in the report, describing \u201cdeeply unsettling exchanges\u201d between the chair and his subordinates. Several instances of the chairman losing his temper are outlined in a chapter of the report, stating in one example that as recently at last year, he held a 45-minute rant on bank failures where he threatened that he could \u201cfire\u201d or \u201creassign\u201d anybody he wanted. Attendees described the meeting as \u201cembarrassing and inappropriate.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">His \u201creputation raises questions about the credibility of the leadership\u2019s response to the crisis and the \u2018moral authority\u2019 to lead a cultural transformation,\u201d the report states.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cFar too many employees and for far too long, the FDIC has failed to provide a workplace safe from sexual harassment, discrimination, and other interpersonal misconduct,\u201d according to the report.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cWe also find that a patriarchal, insular, and risk-averse culture has contributed to the conditions that allowed for this workplace misconduct to occur and persist, and that a widespread fear of retaliation, as well as a lack of clarity and credibility around internal reporting channels, has led to an underreporting of workplace misconduct over the years.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The agency last December released a plan to address the issues outlined in the report, which Gruenberg mentioned <a href=\"https:\/\/www.fdic.gov\/news\/press-releases\/fdic-chairman-addresses-independent-third-party-report-message-employees\">in an apology<\/a> posted to the agency\u2019s website on Tuesday.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cTo anyone who experienced sexual harassment or other misconduct at the FDIC, I again want to express how very sorry I am,\u201d Gruenberg said. \u201cI also want to apologize for any shortcomings on my part. As Chairman, I am ultimately responsible for everything that happens at our agency, including our workplace culture.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Lawmakers from both sides of the aisle on Capitol Hill have called on Gruenberg to resign from his post.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">House Financial Services Committee Chair Rep. Patrick McHenry (R-N.C.), said the report \u201cmakes clear new leadership is needed at the FDIC\u201d and Democratic committee member Rep. Bill Foster from Illinois said \u201csweeping changes must be made to mend the toxic work environment that has run rampant for far too long, and that starts with a change of leadership. It is time for Chair Gruenberg to resign.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Sen. Tim Scott(R-S.C.), ranking member of the Senate Banking Committee said \u201cit\u2019s time for Chairman Gruenberg to resign so the FDIC can move forward with the leadership it deserves and desperately needs.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The FDIC is an independent government agency that protects bank deposits in the event of a bank failure.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>More than 500 workers reported incidents of harassment, discrimination and other issues, a law firm 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