Wells Fargo ends his investigation of a prejudice against women

The month-long investigation, previously reported by the Wall Street Journal, stems from allegations by women executives that women in Wells Fargo's Wealth Management division are systematically belittled or blocked. The bank broadened the scope of the survey after the publication of the Review, which had registered a growing number of complaints of discrimination on the grounds of sex.

The allegations and the investigation show how the #MeToo movement has become part of a broader discussion about whether women are promoted fairly in positions of responsibility in various sectors, including that of finance. The charges are particularly on Wells Fargo, which is still facing the scandal of business practices that erupted in 2016. Since then, legal and regulatory issues have arisen in all of its major business units, including wealth management.

Wells Fargo spokeswoman Kathleen Leary said the bank valued all of its employees and took all allegations made by them seriously. "We ensure that the issues raised are subject to thorough and objective investigation while taking steps to protect confidentiality," she said.

Wells Fargo spent months interviewing dozens of women as part of the investigation. Some executives said that part of the investigation was centered on at least one formal complaint against the head of a private bank, Jay Welker, related to human resources, the newspaper reported. They stated that Mr. Welker, who is also the head of the wealth management division, often called women "girls" or told them to put on their "big girl panties".

Mr. Welker did not respond to a request for comment.

On Tuesday, Wells Fargo announced in an internal memo that Welker would retire at the end of March. The note did not name a successor. Mr. Welker said in his own memo that he had chosen to retire.

Mr. Welker reports to Mr. Weiss, who is responsible for wealth management and investments. During the phone call with officials, Weiss said last week that there was no sexist bias among the members of his management team, officials said.

In a statement to Ms. Leary, Mr. Weiss stated that he recently spoke to hundreds of unit leaders and stated that his goal was "to say that there is nothing wrong with it. no tolerance for sexist prejudices in our organization ".

Mr. Weiss added that he took diversity seriously and that if employees lived in contradiction with the values ​​of the bank, they should "raise their hand or contact me directly".

On Thursday at an internal town hall, Weiss spoke about "diversity and inclusiveness" several times and said it was a topic on which senior leaders spent a lot of time.

A large number of women leaders said that the majority of management positions in wealth management were held by men. Women managers said that qualified women had recently been denied for several leading roles in men.

Many have viewed Susan Mayo's recent promotion as a victory. Last month, the bank appointed her as Senior Managing Director for the South West Region, according to an internal banking memo. She had previously applied for this role in another region, according to people familiar with the process. The rating indicates that his leadership is "instrumental in our diversity and inclusion efforts."

Ms. Mayo did not respond to a request for comment.

The Wells Fargo internal investigation lasted several months, a period longer than about six weeks, according to the same source. Four different human resources managers conducted the survey at different times, starting each time with a new person, the population said.

Ms. Leary said in a statement, "Once the investigation is complete, we pledge to take whatever action is appropriate." She added that the bank was committed to promoting diversity and inclusion in all aspects of its activities.

Issues of gender bias in the unit have been kept private in the past.

Around 2014, a woman boss said she was sexually discriminated against, including being underpaid for her role and claiming hundreds of thousands of dollars in alleged damages, according to an email from a bank . According to a person familiar with the case, she would have settled the case amicably with Wells Fargo.

Michael Franklin, a Wells Fargo labor lawyer, sent an email to David Kowach, then head of Wells Fargo Advisors' private client group, about the 2014 conflict. "I know it's frustrating and that she get something, "Franklin wrote, according to the email reviewed by the Journal.

The woman is no longer working for Wells Fargo.

Franklin and Kowach did not respond to requests for comment. According to an internal memo, Mr. Kowach was recently promoted to the management of the Wells Fargo Advisors and Wealth Brokerage Services divisions.

Mr. Weiss, who is the head of Mr. Kowach, met on October 23 with a dozen Regional Directors General who expressed frustration at the treatment of women in the unit. The women, Mr. Weiss and a human resources manager met in a private dining room at the Westin Hotel in Minneapolis, the protesters said.

The results of the survey were not discussed and the women did not know that it would be concluded soon, said the people.

Write to Emily Glazer at [email protected]