• Assessment will focus on bank’s efforts to serve diverse communities and promote a diverse workforce
• To be conducted by Covington & Burling LLP
• “Critical next step in reinforcing our commitment to racial equity and closing the wealth gap in this country”

Wells Fargo & Company announced that it will commission an external, third-party racial equity audit. The assessment will include input from both internal and external stakeholders and focus on elements of Wells Fargo’s efforts to serve diverse communities and promote a diverse workforce.

“Commissioning this work is a critical next step in reinforcing our commitment to racial equity and closing the wealth gap in this country,” said Chief Executive Officer, Charlie Scharf. “DE&I is an imperative at Wells Fargo, and we consistently strive to measure our progress and hold ourselves accountable. This important work will build on our efforts to lead in all aspects of DE&I in our company and in the communities we serve.”

Image: Wells Fargo CEO Charlie Scharf. Source: Wells Fargo

The assessment will be conducted by Covington & Burling LLP, a nationally recognized law firm with deep experience leading civil rights and racial equity audits across various industries. The company plans to publish the results of the assessment by the end of 2023.

See related article: Wells Fargo Foundation Awards $7.5 Million to LISC Houston to Expand Homeownership for Families of Color

Some of the actions taken by the company in support of its commitment to racial justice and DE&I, include:

• Small business recovery: Wells Fargo’s roughly $420 million Open for Business Fund has provided more than 200 community development financial institutions and other nonprofits with resources to help a projected 152,000 small business owners. Grantees estimate 85% of those served will be racially or ethnically diverse.
• Scholarships for diverse students: Wells Fargo has provided $107 million in scholarships and programming to help diverse students at 25 historically Black colleges and universities and other minority-serving institutions realize their dreams of attending college.

• $50 million to 13 Black-owned banks: Wells Fargo invested in 13 Black- and African American-owned banks that play a critical role in many communities where residents have little to no access to a bank account or capital.
• $2 billion Inclusive Communities Climate Bond: Wells Fargo engaged 24 diverse broker-dealers to issue its second sustainability bond supporting housing affordability, economic opportunity, renewable energy, and clean transportation.
• Employee hiring and advancement: 45% of our U.S. employees are racially and ethnically diverse, as of December 2021. Approximately 9% of our U.S. executives, defined as 1 to 3 levels from the CEO, are Black/African American, as of December 2021, up from 5.8% in December 2020.

More information about DE&I at Wells Fargo is available in our 2022 DE&I Report.

Source: Wells Fargo