Labor Secretary Lori Chavez-DeRemer to exit Trump administration

· Axios

Labor Secretary Lori Chavez-DeRemer has resigned from her position to move into a private sector job, White House communications director Steven Cheung announced Monday.

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  • Deputy Secretary Keith Sonderling will serve as acting secretary of labor, he said.

The big picture: Chavez-DeRemer has faced scrutiny over several misconduct scandals, including allegations of mishandling department funds and inappropriate relationships with staff, which the Trump administration called "baseless."

Catch up quick: The Labor Department's inspector general launched an investigation into Chavez-DeRemer earlier this year after it was alleged she misused taxpayer dollars to fund personal travel, per the New York Times.

  • The secretary is accused by whistleblowers of having staff fabricate official visits to places she wanted to go, visits she took with family and friends that were paid for with government dollars, according to reporting from the New York Post.
  • The complaint to the Labor Department inspector general's office also claims there is a "stash" of alcohol in her office and that Chavez-DeRemer frequently drank during regular work hours, and she was accused of having an inappropriate relationship with a member of her security detail.
  • Chavez-DeRemer has not been formally accused of any wrongdoing.

Zoom in: At least four members of the secretary's staff have been fired or placed on leave since the Labor Department launched an investigation into her conduct.

  • Chavez-DeRemer's chief of staff and deputy chief of staff left after they were told to resign or be fired in early March, while her director of advance claimed she was wrongfully terminated at the end of the month.

The investigation into Chavez-DeRemer also revealed that some young female staffers were told in text messages to "pay attention" to the secretary's husband and father, according to reporting from the NYT.

  • Texts published by the NYT show Chavez-DeRemer's father, Richard Chavez, offering to show a young staffer around: "Hearing u/r in town. Wishing you would let me know. I could have made some excuses to get out and show u around. Please keep this private."
  • Chavez-DeRemer's husband, Shawn DeRemer, told a staffer he was "feeling forgotten" after she apologized for not keeping in touch via a text message. "I figured you were still in church repenting after your exposure to the demon state of Oregon," he wrote.

Zoom out: Shawn DeRemer has been another point of contention inside the Department of Labor.

  • He was banned from entering the department's headquarters after female staff members reported he sexually assaulted them.
  • At least one incident was captured on video, per the NYT, which cited people familiar with the matter and a police report.

Between the lines: Chavez-DeRemer is the third Cabinet secretary to leave in Trump's second term, following the firings of former Attorney General Pam Bondi and Homeland Security Secretary Kristi Noem.

Go deeper: Why Lori Chavez-DeRemer, Trump's Labor pick, is rattling conservatives

Editor's note: This is a breaking news story and will be updated.

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