(Reuters) -U.S. Federal Reserve Vice Chair for Supervision Michelle Bowman plans to reorganize the agency’s supervision and regulation division and cut the unit’s staff by about 30%, according to an email sent to staff Thursday. The reduction will be through attrition, retirements and voluntary separation incentives, according to the email seen by Reuters. Bloomberg News […]
U.S.
Fed’s Bowman plans to cut bank-supervision unit by about 30%, email shows
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(Reuters) -U.S. Federal Reserve Vice Chair for Supervision Michelle Bowman plans to reorganize the agency’s supervision and regulation division and cut the unit’s staff by about 30%, according to an email sent to staff Thursday.
The reduction will be through attrition, retirements and voluntary separation incentives, according to the email seen by Reuters. Bloomberg News first reported on the planned staffing cuts.
The Fed said earlier in the year that on a larger scale it plans to shrink its workforce by about 10% over the coming years, bringing the U.S. central bank in line with President Donald Trump’s broader efforts to streamline the federal government.
Powell had directed the Fed leadership to find “incremental” ways to trim operations, with a goal of shrinking the Fed’s roughly 24,000-person headcount nationwide.
The move also comes as the Fed moves to adjust the U.S. central bank’s supervisory framework for large banks.
(Reporting by Pete Schroeder in Washington and Pritam Biswas, Angela Christy in Bengaluru; Editing by Leslie Adler, Maju Samuel and Diane Craft)