Submitted by United States Senator John Kennedy of Louisiana
WASHINGTON (June 18, 2024) – Senator John Kennedy (R-La.), a member of the Senate Banking Committee, today introduced the Federal Deposit Insurance Corporation (FDIC) Discrimination Relief Act of 2024 to empower current and former FDIC employees who experienced discrimination or sexual harassment to have their day in court.
This bill empowers current and former FDIC employees to file a lawsuit in the U.S. District Court for the District of Columbia or a U.S. District Court of appropriate jurisdiction (as some alleged misconduct took place at FDIC field offices). It allows individuals—but does not require them—to pursue administrative remedies before bringing a civil action.
“Not only did FDIC officials harass other employees, but victims lived in fear of retribution if they reported abuse. It’s time to protect faithful employees and finally bring accountability to the FDIC by giving victims the ability to sue the agency for the abuse they endured under bad leadership,” said Kennedy.
Public reporting from the FDIC says that the agency received 92 official harassment complaints between 2015 and 2023, but not one offender was removed, demoted or received any disciplinary action more serious than a suspension. Only two cases of those 92 resulted in suspensions.
A review of the FDIC established a hotline to report misconduct within the agency. That hotline received 541 additional reports of misconduct, likely because employees feared retaliation if they reported harassment to the agency itself.
The FDIC Discrimination Relief Act would allow individuals employed by the FDIC between Jan. 1, 2015 and Dec. 31, 2023 to sue the FDIC. This would allow victims to seek appropriate relief for harm resulting from discrimination on the basis of race, color, religion, sex, national origin, age, disability, genetic information or denial of a reasonable accommodation to known limitations connected to pregnancy, childbirth or a related medical condition.
Sens. Kevin Cramer (R-N.D.), Steve Daines (R-Mont.) and Joni Ernst (R-Iowa) cosponsored the legislation.
Text of the FDIC Discrimination Relief Act is here.
