Kathmandu— A federal watchdog report has detailed allegations of misconduct involving former U.S. Labor Secretary Lori Chavez-DeRemer, who resigned in April 2025, including using government employees for personal tasks, drinking alcohol during work hours, and developing an inappropriate relationship with a member of her security detail, according to a 44-page report released by the Department of Labor's Office of Inspector General.

Toxic Workplace Culture

The report, based on 500 documents and interviews with 53 current and former Labor Department employees, described Chavez-DeRemer's office as "toxic, intimidating and humiliating," with 38 interviewees characterizing the environment in those terms.

Senior staff reportedly engaged in threatening, demeaning, and abusive communication toward colleagues, including berating employees in front of others and threatening termination. One incident involved Chavez-DeRemer's chief of staff, Rebecca Wright, relocating an employee's desk to avoid having a "fat person" seen in the front office, and advising another employee not to cut her hair short to avoid looking like a "lesbian."

The report found that Chavez-DeRemer was aware of these incidents but failed to take action to prevent them, contributing to a hostile work environment that led to multiple high-level staff departures in her final months.

Personal Use of Staff and Resources

Investigators documented that Chavez-DeRemer directed government employees to perform personal tasks during official work hours, including organizing her closet, hanging laundry, and arranging clothing and purses at her residence.

Another employee, who was Hispanic, was reportedly tasked with overseeing workers at Chavez-DeRemer's home, including a moving crew. Employees were also directed to purchase personal items such as gifts, picture frames, holiday decorations, and alcohol.

The report noted that Chavez-DeRemer, Wright, and her deputy chief of staff regularly drank alcohol in the secretary's study during duty hours, with no record of required advance written authorization for alcohol on federal property, violating Department of Labor policy.

Inappropriate Relationship with Security Detail

The watchdog report identified an "inappropriately close and unprofessional" relationship between Chavez-DeRemer and a senior agent on her protective detail, which violated government ethics standards.

Witnesses reported seeing Chavez-DeRemer massaging the agent's shoulder, golfing and gambling with him, and walking arm-in-arm after events. The report documented an April 2025 incident where Chavez-DeRemer requested her security detail make an off-the-record stop at a club featuring partially nude dancers during a personal trip to Oregon.

While the report did not find sufficient evidence of a sexual relationship, it documented conduct that created conflicts of interest, including the agent reducing the number of officers covering Chavez-DeRemer and assuming sole responsibility for her protection, with electronic records suggesting overnight stays in each other's rooms.

Travel Policy Violations and Unreported Gifts

The report found multiple travel policy violations, including excessive spending on lodging for a November 2025 event at an America First Policy Institute gala in Palm Beach, Florida, where costs approached or exceeded three times the government reimbursement rate without required documentation.

Chavez-DeRemer also failed to report several gifts received as part of her official duties, including rodeo tickets, an alligator-hide wallet, and cowboy hats given to her and her husband, violating federal requirements to report gifts to avoid conflicts of interest.

The watchdog recommended structural changes to the Labor Department, including removing protective units from the secretary's oversight and placing them under the inspector general's office, along with independent travel audits and stronger whistleblower protections.

The report concludes with recommendations for structural changes to the Labor Department, including removing protective units from the secretary's oversight and placing them under the inspector general's office, while Chavez-DeRemer has announced she will serve as a senior adviser at a public affairs firm focusing on labor and national infrastructure.

(With inputs from Al Jazeera)

Originally published on abcnews.com.np.