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FSA faces racism report

By Channel 4 News

Updated on 22 June 2009

An internal report obtained by More 4 News criticises the FSA for failing its ethnic minority employees.

Docklands (picture: Reuters)

The report was drawn up by consultants Pearn Kandola to provide a diversity audit. It was presented in September last year. And it contains fierce criticism of the FSA.

The internal report obtained by More4 News says the FSA has failed to tackle what it calls diversity inappropriate behaviour by both staff and clients.

It gives the example of an employee who was told she was unapproachable because she wore her hair in an afro hairstyle.

On another occasion the chief executive of a financial services company used the word "nigger" in a meeting with the FSA. The report says that this comment went by unchallenged.

The report says that in a focus group of 12 FSA employees from ethnic minorities, half claimed they had either suffered unfavourable treatment because of their race or knew someone that had.

The report does praise the FSA in certain areas, particularly recruitment, but it says that the perception within the organisation is that ethnic minority employees struggle to gain promotion.

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