Wells Fargo Moves to Resolve Another ‘Phantom Accounts’ Whistleblower Case

In Worzella's case, OSHA investigators did not recommend similar relief. According to a copy of the OSHA decision, investigators found there was "no evidence" showing that the firing of Worzella was connected to the sales practices scandal.

Worzella argued she was fired for refusing to condone the opening of "phantom accounts" and later identified herself, during the bank's internal investigation into the scandal, as an outspoken whistleblower and victim of retaliation. Her attorney, Smith, said in administrative filings last year that Worzella chose to file her complaint with the Labor Department after failing to "resolve this matter directly with Wells Fargo."

Wells Fargo said the firing stemmed from an investigation into three complaints that had been filed anonymously against Worzella between October and November 2016—the months immediately following the $185 million settlement.

Two of the complaints alleged that, at a women's leadership conference, Worzella commented that taking four months of maternity leave would be a "complete career derailer." A third complaint claimed that Worzella had retaliated against an employee for wanting an open position outside Worzella's team.

Worzella conceded that, during the conference, she said employees who take maternity leave would miss out on promotion opportunities but said her remarks had been taken out of context.

In April 2017, Worzella was interviewed as part of a separate internal investigation into the sales practices scandal. In an interview conducted by an unidentified outside firm, Worzella "disclosed ongoing problems associated with fraud, phantom accounts and her unwillingness to participate in these types of practices," according to the OSHA order. Worzella also "identified several upper level managers who allegedly encouraged employees to participate in fraudulent banking activities," the decision states.

Worzella was fired two months later. OSHA found there was "no evidence" that the senior employee relations consultant who decided to fire Worzella "had any knowledge" of the information she provided during the internal investigation into the sales practices scandal.

"The timing between [Worzella's] protected activity and adverse employment action does suggest temporal proximity; however, there was no evidence of animus," OSHA Regional Administration Gregory J. Baxter said in an order.

Wells Fargo, according to Baxter, demonstrated the bank "would have taken the same adverse action in the absence of [Worzella's] protected activity."