Senator Ted Cruz has initiated an investigation into the Federal Trade Commission (FTC) following reports of declining employee morale, mismanagement, and a "toxic environment" within the agency. In a letter addressed to FTC Chair Lina Khan, Senator Cruz expressed concerns about the worsening situation despite promises to address employee dissatisfaction.
Citing data from a 2022 Federal Employee Viewpoint Survey, Cruz highlighted that less than half of FTC employees believed leadership upheld high standards of honesty and integrity. A mere 44% expressed a high level of respect for senior leaders. Interviews with FTC staff revealed emotional distress, "angry grief," and feelings of marginalization among employees who feared reprisal for dissenting from Chair Khan's agenda. One veteran staffer reportedly stated that FTC leaders showed "no regard" for employee well-being.
Senator Cruz suggested potential causes for the low morale, including the FTC's approach to merger applications and a perceived lack of managerial experience among leadership. He also cited concerns about “pressure for ideological loyalty” and fear of reprisals within the agency. Cruz emphasized that a demoralized staff hinders the FTC's ability to fulfill its mission of protecting consumers from unfair business practices.
The Senator has formally requested several documents from the FTC, including employee numbers and details of actions taken to address morale issues, with a deadline of July 3, 2023. The FTC has declined to comment on the investigation.
