Lawmakers Call for CFPB Discrimination Investigation
Democratic members of the Financial Services Committee Subcommittee on Oversight and Investigations have called on inspectors general at the Federal Reserve to investigate CFPB personnel policies for possible discrimination. And, they've asked the NCUA's inspector general to review NCUA policies, too.
In a letter sent to the Federal Reserve Inspector General Mark Bialek, lawmakers including Financial Services Committee Ranking Member Maxine Waters (D-Calif.), who is pictured at left, expressed concern over allegations that CFPB managers have been ranking white employees “distinctly better” than minority employees on performance reports.
“We request that the Office of Inspector General immediately exercise its independent oversight authority over the bureau’s operations, to detect whether any personnel practices and policies have created an unfair or discriminatory workplace for minorities and women employed at the CFPB,” said the letter dated March 24.
The Democrats sent additional letters to inspectors general at the FDIC, NCUA, Department of Treasury, Federal Housing Finance Agency, and the SEC.
The lawmakers are requesting a review of internal operations to “determine whether any personnel practices have created a discriminatory workplace or otherwise systematically disadvantaged minorities from obtaining senior management positions.”
Waters and Subcommittee Ranking Member Al Green (D-Texas) signed the letters, as did Democrats Carolyn Maloney (N.Y.), Emanuel Cleaver (Mo.) and Denny Heck (Wash.).
It’s not just Democrats questioning the CFPB. Financial Services Committee Chairman Jeb Hensarling (R-Texas), Oversight and Investigations Subcommittee Chairman Patrick McHenry (R-N.C.) and Financial Institutions and Consumer Credit Subcommittee Chairman Shelley Moore Capito (R-W.V.) wrote CFPB Director Richard Cordray on March 6 and requested the bureau’s employee performance review records.
The Financial Services Committee Oversight and Investigations Subcommittee will hold a hearing next week focused on possible discrimination and retaliation against CFPB employees.