The Federal Reserve is planning to reduce the workforce at the central bank by 10% over the next few years, according to a memo reviewed by FOX Business.
Fed Chair Jerome Powell sent a memo on Friday morning to central bank employees to inform them of the plans, saying that “experience here and elsewhere shows that it is healthy for any organization to periodically take a fresh look at its staffing and resources.”
Powell said the Fed will work to “find incremental ways to consolidate functions where appropriate, modernize some business practices, and ensure that we are right-sized and able to meet our statutory mission.”
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The workforce reduction program will also include a voluntary deferred resignation program, while a source familiar with the plan tells FOX Business that the Fed will also use attrition to reduce staffing levels in line with its goal. The central bank currently has a hiring freeze in place.
This is a developing story. Please check back for updates.
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