The suit accused the CFPB of harboring a “biased culture replete with harmful stereotypes” about minority and female employees that resulted in them receiving lower performance ratings, lower pay and fewer promotions.

According to the proposed deal terms, the CFPB would put $6 million into a compensation fund for a class of 85 Black and Hispanic employees who have worked in its Office of Consumer Response between 2011 and 2022. Awards would be determined through a claims process based in part on how long employees worked in particular pay bands.

[Remember the old saying, “It takes a thief to catch a thief”? Maybe that’s the philosophy at CFPB too. — Ed]