Goldman Sachs paid greater than $12mn to accomplice accusing financial institution of misogyny

A Goldman Sachs accomplice accused a number of executives together with chief govt David Solomon of constructing misogynistic feedback in a criticism that resulted within the Wall Road financial institution paying her a settlement totalling greater than $12mn, in keeping with individuals accustomed to the matter.

Goldman paid the long-serving govt the settlement earlier than she left the corporate in 2020 in an effort to maintain the allegations secret, the individuals stated.

The allegations and settlement, which was agreed two years in the past, had been first reported by Bloomberg.

“Bloomberg’s reporting comprises factual errors, and we dispute this story. Anybody who works with David is aware of his respect for ladies, and his lengthy report of making an inclusive and supportive setting for ladies,” Goldman basic counsel Kathryn Ruemmler stated in an announcement. The financial institution declined to remark additional on what errors Ruemmler was referring to.

Solomon was not the goal of the criticism however the salacious particulars referenced in it included an alleged comment he made to colleagues that he was the one particular person within the room who had obtained oral intercourse the evening earlier than, the individuals accustomed to the matter stated.

Many of the alleged incidents occurred in 2018, the yr Solomon grew to become CEO, and 2019.

The accomplice who made the accusations declined to remark.

The revelations come at a troublesome second for Solomon, who’s 4 years into the CEO job and final month introduced his second main restructuring of the financial institution as he battles to shut a inventory market valuation hole versus its friends.

Solomon has additionally confronted questions internally over his ostentatious fashion, which has included high-profile DJing appearances and his request for Goldman to buy two personal planes.

The criticism highlights the diploma to which Wall Road banks have struggled to recruit and retain feminine and minority workers in an trade nonetheless dominated by white male executives. The CEO’s of 5 of the six largest US banks by property are white males.

Earlier this yr, one other former Goldman worker, Jamie Fiore Higgins, printed a memoir of her 17 years on the financial institution wherein she alleged she suffered bullying, discrimination and manipulation.

Solomon has talked publicly about making an attempt to diversify Goldman’s workforce and in 2019 printed a set of hiring targets. Final week, the financial institution elevated a report variety of feminine and black workers to its elite accomplice ranks.