The US Securities and Exchange Commission (SEC) is planning to eliminate top leaders at regional offices across the country as part of its cost-cutting recommendations, according to two sources familiar with the matter. The move, which requires a vote from the three-person commission, aims to reduce staff costs.
The SEC has already scaled back its crypto enforcement efforts and reassigned certain staff. The agency’s new focus is on creating policy for the sector and deploying enforcement resources “judiciously.” The plan to eliminate regional directors is part of a broader effort by the Trump administration to purge the federal workforce.
The commission, which oversees $100 trillion in US capital markets, will submit recommendations for cost cuts next month. The administration has already started firing thousands of people across federal agencies, and special adviser Elon Musk recently demanded employees list their accomplishments or face termination.
While some taxpayer benefits from potential cuts are unclear, the SEC benefits from industry fees and is “deficit neutral.” Eliminating regional directors will be a difficult adjustment for the agency, as they lead investigations and lawsuits in high-profile matters. The change requires approval from the commission, which has been embroiled in controversy over its handling of securities regulations.
Source: https://www.reuters.com/world/us/us-securities-regulator-plans-cut-regional-directors-due-trump-administration-2025-02-24