FDIC investigates claims of toxic culture, "boozy" hotel in Arlington

An alleged toxic work environment at the FDIC has included heavy drinking, lewd photos, and its own "boozy hotel" in Arlington, according to a Wall Street Journal investigation.

Why it matters: The FDIC has been hesitant to tamp down on a "sexualized, boys' club environment" that led many women to quit, according to the Journal's interviews with more than 100 current and former employees.

What's happening: The FDIC hired the law firm BakerHostetler to examine allegations of harassment and discrimination, after the report was published on Monday, the Journal reported.

• A "top-to-bottom assessment" would be conducted, said FDIC chair Martin Gruenberg.

Zoom in: The agency owns an 11-story hotel in the Virginia Square neighborhood that turned into a party hub. Out-of-town employees stay there when attending training.

• Nights of heavy drinking have led to reports of people vomiting in the elevator and urinating off the roof, per the Journal.
• An Instagram account posted in 2021: "If you haven't puked off the roof, were you ever really a FIS?" (Short for Financial Institution Specialist.)

The big picture: The behavior was widespread across the country, according to the investigation.

• A male supervisor in San Francisco invited staffers to a strip club, in one example. Senior staffers sent pictures of their genitalia to female employees.

Of note: Employees travel often as part of their jobs regulating banks.