White House official announcement or credible news sources

Senate Banking Chair Urges Biden to Replace FDIC Head Martin Gruenberg Amid Sexual Harassment Probe

May 20, 2024, 02:27 PM

The FDIC is facing significant scrutiny over its workplace culture, which has been described as toxic and rife with sexual harassment, bullying, and other forms of misconduct. During a heated House hearing, FDIC Chair Martin Gruenberg resisted bipartisan calls for his resignation. Senate Banking Committee Chairman Sherrod Brown has called on President Biden to nominate a new chair for the FDIC, citing the need for fundamental changes within the agency. This follows a report and congressional hearings that highlighted the issues and led to a decline in the FDIC's ranking of employee happiness. Former FDIC Chair Sheila Bair has also urged Gruenberg to step down for the sake of the agency and its employees. Senator Tim Scott criticized President Biden for not acting sooner, accusing Democrats of prioritizing their progressive regulatory agenda over the safety of FDIC employees.