A recently released federal watchdog report has brought renewed scrutiny to the conduct of Lori Chavez-DeRemer, who served as Labor Secretary under President Donald Trump. The Labor Department’s Office of Inspector General (OIG) detailed allegations of misconduct, including an incident where Chavez-DeRemer allegedly instructed a government driver to give cash to a partially nude performer at an Oregon strip club during a personal trip in April 2025. The OIG report also outlined a broader pattern of workplace issues, describing a "toxic, intimidating and humiliating" environment within the department during her tenure.
"did not violate any laws." Nick Oberheiden, Attorney for Lori Chavez-DeRemer
President Donald Trump originally nominated Chavez-DeRemer, a former Oregon congresswoman, to the position of Labor Secretary following the 2024 election. Her nomination garnered attention due to her established ties to organized labor, notably receiving support from Teamsters leadership. Chavez-DeRemer resigned from her role on April 20, one day prior to a scheduled interview with OIG investigators. Trending Politics News reported at the time that her departure from the Trump administration was for the private sector, even as the inspector general's investigation was ongoing.
According to the OIG report, the strip club incident occurred while Chavez-DeRemer was accompanied by members of her federal protective detail. The Daily Mail reported that the stop was deliberately omitted from the official schedule. Investigators stated that members of the security team were initially unaware of the nature of the establishment until their arrival. Once inside, Chavez-DeRemer allegedly directed Brian Sloan, a supervisor on her protective detail, to bring the government driver into the venue from his usual position outside. The report states that Chavez-DeRemer then took money from her purse, handed it to the driver, and instructed him to give it to one of the performers. Subsequently, she reportedly handed him additional bills and directed him to drop them individually over the woman’s partially nude body. The driver reportedly resisted this request twice and sought guidance from Sloan, who allegedly told him to comply with the secretary’s instructions. The driver ultimately complied, despite his objections, as detailed by investigators. Sloan then reportedly warned the driver not to discuss the encounter, though the driver reported the incident to his own supervisor the following day. The Labor Department inspector general concluded that both Chavez-DeRemer and Sloan subjected the employee to unwelcome conduct and violated the department’s anti-harassment policies.
The strip club episode was one finding within a more extensive investigation into Chavez-DeRemer’s leadership at the Labor Department. The Washington Post reported that the OIG found Chavez-DeRemer oversaw a workplace that employees characterized as "toxic, intimidating and humiliating." Investigators interviewed 53 current and former Labor Department employees as part of their inquiry, with 38 witnesses describing the workplace in those terms. The OIG also reviewed hundreds of documents, images, and videos.
Further findings from the inspector general included the conclusion that Chavez-DeRemer maintained an "inappropriately close and unprofessional relationship" with Sloan, who held a supervisory role on her security detail. Evidence cited by investigators included encrypted messages, instances of physical familiarity, communications outside normal working hours, and hotel records indicating that the two spent portions of multiple nights in one another’s rooms. Surveillance footage also reportedly showed Sloan leaving Chavez-DeRemer’s Washington apartment building approximately 14 hours after arriving. However, the watchdog report explicitly stated that investigators lacked sufficient direct evidence to establish a romantic or sexual relationship, and therefore did not reach such a conclusion. The Washington Post similarly confirmed that the inspector general did not substantiate a romantic or sexual affair.
Additional allegations detailed in the report, as reported by The Daily Mail and The Washington Post, involved Chavez-DeRemer’s alleged improper use of government resources for personal travel and errands. This included instances where employees were reportedly assigned personal tasks for the secretary, such as organizing clothes and belongings at her home during the workday. The report also cited instances where Chavez-DeRemer allegedly permitted unauthorized alcohol consumption on federal property and failed to properly report gifts. Witnesses further told investigators that employees who declined alcohol were sometimes pressured or ridiculed.
In response to the report, Lori Chavez-DeRemer has denied any wrongdoing. Her attorney, Nick Oberheiden, told The Washington Post on Friday that the OIG report confirmed his client "did not violate any laws." This statement highlights a key distinction: while the inspector general’s report substantiated violations of department policies and standards, Chavez-DeRemer’s attorney maintains that the findings do not constitute criminal conduct. The release of the OIG report now provides significantly more detailed information about the allegations that surrounded Chavez-DeRemer’s departure from the Trump administration earlier this year, shedding light on both the unusual strip club encounter and the broader workplace complaints documented by federal investigators.
