[US] ‘Party culture’, sexual harassment and mismanagement at FDIC

In the US, the Federal Deposit Insurance Corporation (FDIC) - a government corporation providing deposit insurance to depositors in US commercial banks and savings institutions - has come under fire over coverage of its toxic culture, BNN reports.

A Wall Street Journal report cast a spotlight on the agency’s so-called ‘party culture’ and provoked a wave of criticism. 

The allegations reportedly range from sexual harassment to a pervasive drinking culture. It was claimed that the FDIC’s hotel in Washington served as the focal point for such activities.

The FDIC’s culture is linked to multiple instances of sexual harassment, according to the report. These incidents allegedly included supervisors inviting employees to strip clubs, senior bank examiners sending explicit photos to female employees and an overall heavy drinking culture. More than 20 women have reportedly quit their jobs as a result of the toxic environment.

In response to the allegations, the FDIC has hired a law firm to investigate. An FDIC spokesperson said, “Harassment is contrary to the FDIC’s values, and we have various training, reporting, and oversight programs in place to create a safe and inclusive workplace.”

The FDIC was also reportedly criticised this year for its handling of the failures of Silicon Valley Bank and other major financial institutions. The agency’s ability to effectively manage these financial failures has come under scrutiny with questions over whether the agency’s ‘party culture’ is potentially undermining its credibility and operational capacity.

Source: BNN

(Quote via original reporting)

In the US, the Federal Deposit Insurance Corporation (FDIC) - a government corporation providing deposit insurance to depositors in US commercial banks and savings institutions - has come under fire over coverage of its toxic culture, BNN reports.

A Wall Street Journal report cast a spotlight on the agency’s so-called ‘party culture’ and provoked a wave of criticism. 

The allegations reportedly range from sexual harassment to a pervasive drinking culture. It was claimed that the FDIC’s hotel in Washington served as the focal point for such activities.

The FDIC’s culture is linked to multiple instances of sexual harassment, according to the report. These incidents allegedly included supervisors inviting employees to strip clubs, senior bank examiners sending explicit photos to female employees and an overall heavy drinking culture. More than 20 women have reportedly quit their jobs as a result of the toxic environment.

In response to the allegations, the FDIC has hired a law firm to investigate. An FDIC spokesperson said, “Harassment is contrary to the FDIC’s values, and we have various training, reporting, and oversight programs in place to create a safe and inclusive workplace.”

The FDIC was also reportedly criticised this year for its handling of the failures of Silicon Valley Bank and other major financial institutions. The agency’s ability to effectively manage these financial failures has come under scrutiny with questions over whether the agency’s ‘party culture’ is potentially undermining its credibility and operational capacity.

Source: BNN

(Quote via original reporting)