At a House Financial Services Committee hearing held last week, Rep. Rashida Tlaib (D-MI) spoke about the leadership at the FDIC.
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NewsTranscript
00:00Gentleman from Tennessee yields back.
00:07Gentlewoman from Michigan, Ms. Tlaib, is now recognized for five minutes.
00:10Thank you, Mr. Chair.
00:12You know, the question is, how can you address a problem that you can't see?
00:16So one longstanding issue, and I know it's, I feel like maybe some of my colleagues have
00:20brought it up, is documented in both the 2020 Inspector General Report and the Clery Report
00:26was the lack of centralized database tracking and documenting harassment claims in the investigations
00:31at the FDIC.
00:32And before, I think, 2020, the internal records were maintained in like a hard copy file system
00:40held by specific individuals there and stored electronically in FDICs, what they call the
00:45Corporate Human Resources Information System, CRISP.
00:49So from 2008 to 2021, the CRISP system documented only two cases.
00:57From 2008 to 2021, the CRISP system documented only two cases of sexual harassment and just
01:05seven cases of harassment.
01:08Mr. Kim and Ms. Maynoe, given that 2009 Office of Inspector General Survey found that 8%
01:17of FDIC respondents had experienced sexual harassment from 2015 to 2019, is there any
01:24reason to believe that CRISP database records from 2008 to 2021 were complete or accurate?
01:30»» There's no reason to believe that the CRISP database was complete.
01:38»» Okay.
01:40In terms of tracking workplace misconduct, how would you characterize the FDIC's data
01:45collection and management practices for both of you?
01:49»» Currently?
01:51»» Yes.
01:53»» We understand that the group within the Human Resources Division at the FDIC, within
01:59the Division of Administration, has taken steps more recently to improve centralized
02:06and systematic record keeping.
02:08In the past year, we understand »» Is this based on their action plan?
02:12Is this?
02:13»» No, this actually predates the action plan.
02:17We understand that in the past year, that group specifically has introduced a system
02:22that now tracks different types of interpersonal misconduct so that it allows the FDIC to
02:29identify sexual harassment, for example, compared to hostile work environment and also identifies
02:36whether misconduct falls under the FDIC's anti-harassment program, which the records
02:41before did not do.
02:44»» So, and I'm not rolling my eyes at you, it's just really bizarre that they would do
02:47it.
02:48So FDIC's December 2023 action plan, one of the stated goals was to, quote, enhance the
02:56centralized tracking system for monitoring sexual harassment claims.
03:00The projected completion of this was February 29th of this year.
03:04So either Mr. McKernan or Mr. Hsu has this action item been successfully completed.
03:11If so, what specific steps were taken to improve the FDIC's ability to track misconduct?
03:19»» I'm not aware of whether it's actually completed.
03:20And even if we're saying it's completed, I won't believe it until I see some independent
03:24validation that it's completed.
03:26»» So I agree with Director McKernan.
03:28The completion of the action plan for that particular database, it's only going to work
03:32if people feel safe to report.
03:35And that's the fundamental thing that needs to be addressed.
03:39»» Yeah, I actually talked to him about that.
03:42People have lost a lot of trust.
03:43So staying on the topic of collecting and tracking information, 2021 Office of Inspector
03:48General report found that FDIC does not have a systematic process for collecting, right?
03:53Or analyzing employee retention data, for instance.
03:57According to the Clery report, FDIC revised its retention tracking process in 2023.
04:02So either Mr. Hsu or Mr. McKernan, what is FDIC's current process tracking retention
04:07records, employee retention records?
04:09Anybody know?
04:10»» So my understanding is that there are projects to improve these.
04:13Again, I think as board members, our focus is we really need to change both structure
04:19and culture.
04:20»» No, Mr. Hsu, because I know when people start leaving, right, or something's wrong.
04:24Like you know how you know.
04:26So I'm trying to figure out what percentage of employees who leave the FDIC complete excess
04:31surveys, what are we doing there?
04:33Because that can always help with indicating whether or not there's a pattern of sexual
04:37harassment, there is something wrong, there's getting to the root cause of turnover, whatever
04:43you want to call it.
04:44Again, we're talking about retention and how important exit interviews are.
04:47»» Yes.
04:48I believe that's been identified in the report as something that needs to be improved as
04:51part of the action plan in concert with these other steps.
04:54They all have to move together.
04:56»» But there are doing exit interviews right now.
04:58»» I have to get back to you.
04:59We have to get back to you on that.
05:00»» You don't do exit interviews right now?
05:02»» I don't want to misspeak.
05:03I want to make sure we get back to you.
05:05»» That's really important, especially in such a large organization right now.
05:13Thank you, Mr. Chair.
05:14I yield.