Consumer bureau a ‘cesspool’ of discrimination and retaliation, union head says

The president of the union that represents workers at the Consumer Financial Protection Bureau read the riot act against the agency Thursday, calling it a “cesspool of poor behavior, discrimination and retaliation.”

Rob Cauldwell, president of National Treasury Employees Union Chapter 335, made the comments during a hearing on the agency held by the House Financial Services Committee’s Oversight and Investigations Subcommittee.

Cauldwell said the bureau, which was created to root out fraud and unfair practices in businesses, “has not lived up to its own standards” by allowing not only discrimination in its own workplace but tacitly condoning retaliation against whistleblowers as well.

“This bureau has the most Equal Employment Opportunity complaints of any federal regulator this year,” Cauldwell said, putting the number at 18. He added that the bureau also has settled several cases without acknowledging wrongdoing.

He cited the case of Ali Naraghi, a bureau employee who testified last year and was then subjected to questions not directed to other employees, denial of good work assignments and lack of promotional opportunities.

In another case, employee Angela Martin said she continued to face discrimination even after she settled her case, Cauldwell said.

“Employees who have filed complaints against the CFPB and its management have been told the agency will be ‘reviewing their travel charges from 2013 as a precautionary measure.’ Could the bureau’s retaliation tactics be more obvious?” Cauldwell asked.

Also testifying was Florine Williams, a senior equal employment specialist in the bureau’s Office of Civil Rights. She said the agency had appointed people to her office who had previously defended the agency against complaints, which she called “the epitome of the fox guarding the henhouse.”

“I am frequently approached by colleagues who tell me they are being subjected to maltreatment and discrimination, but who fear they will face reprisal if they seek help through OCR’s EEO process,” Williams said. “I cannot adequately describe the pervasive and chilling atmosphere that prevails throughout CFPB.”

A representative of the bureau did not testify at the hearing. A spokesman has not responded to a request for comment.

Thursday’s hearing was the fourth the subcommittee has held on the subject. Subcommittee Chairman Sean Duffy, R-Wis., said he was disturbed that no improvement appeared to have been made since the first hearing more than a year ago.

“Despite disturbing reports of low morale and congressional investigations, the leadership at the CFPB continues to turn a blind eye to the treatment of its own people,” Duffy said.

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