On May 20, 2024, Ranking Member Tim Scott (R-S.C.) issued a statement following the announcement by Federal Deposit Insurance Corporation (FDIC) Chairman Martin Gruenberg of his intention to resign after a new Chairman is confirmed. Scott criticized the decision, stating, “If President Biden and Democrats were really serious about supporting employees and fixing the FDIC’s toxic work culture, they’d ask Chairman Gruenberg to step down immediately. This draw-it-out strategy makes it clear that this administration is prioritizing their political agenda over protecting workers.”
During the Senate Banking Committee hearing with Chairman Gruenberg last week, Scott reiterated his call for Gruenberg's resignation and formally requested the Senate Banking Committee to hold a separate hearing on the FDIC’s independent report.
Scott has been vocal about issues at the FDIC since initial reports of sexual harassment and a toxic workplace culture emerged. He pledged to “continue to conduct rigorous oversight of the FDIC to ensure these problems are addressed, bad actors are held accountable, and a respectable office culture is restored at the agency.”
In December, Scott led fellow Banking Committee Republicans in calling on Chairman Martin Gruenberg to provide detailed information regarding allegations of a toxic workplace culture and urged him to resign as Chairman and Board Member. In March, despite promises of transparency from Gruenberg, Scott renewed his demands for information and again called for Gruenberg's resignation.
Following the recent release of an independent report investigating allegations of sexual harassment and a toxic work culture at the agency, Scott released another statement urging “Chairman Gruenberg to resign so the FDIC can move forward with the leadership it deserves and desperately needs to ensure employees and the important work of this agency are supported.”
During the Senate Banking Committee hearing with Chairman Gruenberg, Scott reiterated his call for Gruenberg's resignation. He also formally requested that the Senate Banking Committee hold a separate hearing on the FDIC’s independent report, citing concerns about the impact of a toxic culture, racial discrimination, and sexual harassment on the agency's ability to fulfill its mission.
Scott has also offered his Committee staff as a confidential contact for FDIC employees wishing to make a protected disclosure of information regarding waste, fraud, or abuse – including, but not limited to, sexual harassment or discrimination – or any other misconduct occurring at the FDIC. To share such information, FDIC employees may email RepWhistleblowers@banking.senate.gov or call 202-224-4287.