Investigation Launched into FMA Workplace Culture
Published on 08/04/2026 at 21:17 | Redaktion boerse-global.de
The Financial Markets Authority (FMA) is facing an independent investigation into its workplace conduct and culture, following staff concerns about bullying and the use of non-disclosure agreements (NDAs). The probe, commissioned by the Ministry of Business, Innovation and Employment (MBIE) and announced on August 4, 2026, signals heightened scrutiny of how New Zealand's financial regulator treats its own people — a matter of direct relevance to employers across the sector.
Kristy McDonald KC has been appointed to lead the inquiry, which will examine cultural issues and internal conduct at the organisation.
Leadership Turmoil at the Top
The investigation lands amid significant upheaval in the FMA's senior ranks. Chief Executive Samantha Barrass has been on leave since July 29, 2026, and has indicated she will not seek reappointment when her current term ends in January.
Alastair Hercus has stepped in as acting Chief Executive. The transition follows the earlier resignation of Chair Craig Stobo, who left in May after an independent review found he had breached political neutrality.
Staff Concerns Reached Ministers in 2024
The inquiry traces back to concerns raised by staff through advocate Ruth Money, which reached the Public Service Commission and the relevant Minister on July 24, 2024. The two-year gap between those initial reports and the formal investigation reflects the slow-burning nature of the issues now under scrutiny.
Internal staff survey data from 2025 paints a mixed picture of life at the regulator. While 80% of employees said they found their work meaningful and 72% expressed pride in the organisation, only 59% saw a future for themselves at the FMA. Just 61% said they would recommend the regulator as a workplace.
A Sector Under the Spotlight
The investigation comes at a time when conduct across the financial sector is facing intensified attention. A report published on June 30, 2026, flagged complaint data and conduct oversight as key priorities for the regulator.
Workplace culture issues aren't unique to regulators — any employer can find itself facing uncomfortable internal scrutiny. A free Health & Safety Toolkit helps you stay ahead of your obligations with ready-to-use risk assessments and checklists that support a positive, compliant workplace. Download the free Health & Safety Toolkit
The wider landscape adds context to the challenge. Figures from the Insurance & Financial Services Ombudsman (IFSO) scheme show a 25% year-on-year rise in disputes, with notable increases in health, life and disability insurance cases. Market research also indicates that most insurers still run on legacy systems more than a decade old — a factor that complicates the regulatory environment the FMA must navigate while addressing its own internal failings.
