The Department of Labor is opening an investigation into allegations of Wells Fargo labor law violations, including unpaid overtime, harassment and threats of termination, in connection with the scam where the bank's workers opened two million phony customer accounts.
In response to a letter from Senator Elizabeth Warren and seven other Democratic senators, Labor Secretary Tom Perez wrote back yesterday that the department is taking the senators' concerns seriously.
“I have directed enforcement agencies within the department to conduct a top-to-bottom review of cases, complaints or violations concerning Wells Fargo over the last several years,” Perez wrote in a letter released by Warren’s office Tuesday.
The DOL units involved in the review include the Wage and Hour Division, the Employee Benefits Security Administration, the Occupational Safety and Health Administration, the Office of Federal Contract Compliance Programs and the Office of the Solicitor.
To aid in the investigation, DOL has created a website (ww.dol.gov/wellsfargo) with agency resources for current or former Wells Fargo employees who think they were not paid properly for all hours worked; discriminated against because of race, color, sexual orientation, disability or protected veterans status; or retaliated against for filing a complaint against the company with a regulator.
Wells has paid $185 million to regulators in settlements over the phony account infractions without admitting guilt.
In praising the Labor secretary’s action, Warren said: “Every other federal agency with jurisdiction in this matter should follow DOL’s lead and promptly determine whether Wells Fargo and its senior executives should be prosecuted or otherwise sanctioned.”
Warren told Wells Fargo's CEO at a recent Senate hearing that he should resign and be criminally investigated.