On October 30, 2025, the ABA Banking Journal cited a report by the Wall Street Journal that the Federal Reserve will reduce its bank supervision staff by 30% by the end of 2026.
According to the report, an internal memo was released outlining the cuts, which are being overseen by Fed Vice Chair for Supervision Michelle Bowman. This will leave the Fed’s supervision and regulation division with about 350 staff, down from an authorized 500 staff. The memo stated that the goal was to achieve the cuts as much as possible through natural attrition, retirements, and voluntary separation incentives.
Read the ABA Banking Journal’s article here.
