Lafayette Reporter

WASHINGTON – Sen. John Kennedy (R-La.), a member of the Senate Banking Committee, introduced the Federal Deposit Insurance Corporation (FDIC) Discrimination Relief Act of 2024 today. The bill aims to empower current and former FDIC employees who experienced discrimination or sexual harassment to seek legal recourse.

The proposed legislation allows these employees to file lawsuits in the U.S. District Court for the District of Columbia or other appropriate U.S. District Courts, considering some alleged misconduct occurred at FDIC field offices. The bill provides individuals with the option—but not the requirement—to pursue administrative remedies before initiating 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.

According to public reports from the FDIC, between 2015 and 2023, the agency received 92 official harassment complaints. However, no offenders were removed or demoted, and only two cases resulted in suspensions. A review established a hotline for reporting misconduct within the agency, which received an additional 541 reports likely due to employees' fear of retaliation if they reported harassment directly to the agency.

The FDIC Discrimination Relief Act would permit individuals employed by the FDIC between Jan. 1, 2015, and Dec. 31, 2023, to sue for harm resulting from discrimination based on race, color, religion, sex, national origin, age, disability, genetic information or denial of reasonable accommodation related to pregnancy or childbirth.

Sens. Kevin Cramer (R-N.D.), Steve Daines (R-Mont.), and Joni Ernst (R-Iowa) are cosponsors of the legislation.

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