Good morning! Mastercard will settle a pay discrimination suit for $26 million, the Fortune 500 loses a female CEO, and senators grill Trump defense pick Pete Hegseth.
- On defense. Pete Hegseth testified before the Senate Committee on Armed Services yesterday in his bid to become Donald Trump's secretary of defense. Hegseth's nomination is among the most controversial of Trump's picks, thanks to Hegseth's record of a drinking problem, past allegations of sexual assault and infidelity (which he's denied), and views on women in the military.
At the Capitol yesterday, Hegseth was grilled by Democratic senators about all of the above. Sen. Tim Kaine (D-Va.) pressed the 44-year-old Army veteran and former Fox News anchor about his history of drinking to the point of incapacitation at work events, about an affair that resulted in a child—and about an encounter two months after that child's birth, which a woman told police was sexual assault. According to a police report, the woman said that Hegseth took her phone, blocked the door to his hotel room, and assaulted her. Although she went to the police, Hegseth wasn't charged with a crime. He paid the woman a sum, his lawyer has said, out of fear she would file a lawsuit and threaten his career. Hegseth has denied these allegations, as he continued to do yesterday, calling them all "anonymous smears."
Female senators pressed the nominee further on other parts of his history—namely, his outspoken and recent views on women in the military, which he has shared in his books and in the media; he said on a podcast last year that women "straight up" shouldn't serve in combat roles and has questioned the qualifications of women who do serve in those roles. (The military's ban on women in combat was lifted a decade ago.) Sen. Kirsten Gillibrand (D-N.Y.) called Hegseth's past statements "so hurtful" to service members, morale, and discipline. While Hegseth said he "respect[s] every single female service member that has put on the uniform past and present," Sen. Jeanne Shaheen (D-N.H.) questioned his "eleventh-hour conversion."
Sen. Joni Ernst (R-Iowa) had raised concerns about Hegseth's stance on women in combat and was seen as a critical vote for his confirmation. She used her time to hear his commitments that "women will have access to ground combat roles.” Last night, the Republican senator said she would support his nomination. That means it will likely advance to the full Senate, and increases the likelihood of his confirmation.
Of all of Trump's nominees, Hegseth comes with the most baggage. The closest he came to admitting fault throughout this hearing was to say he was "not a perfect person," although he added that he was "redeemed by my lord and savior Jesus.”
Hearings for other controversial cabinet picks—like Robert F. Kennedy Jr. and Tulsi Gabbard—are set to be held later. Coming up this week are hearings for homeland secretary pick Kristi Noem and attorney general Pam Bondi, who replaced Matt Gaetz after sexual misconduct scandals scuttled his nomination.
Emma Hinchliffe
emma.hinchliffe@fortune.com
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