November 7, 2024
SEC’s OIG Report: Hiring Freeze Still in Effect
According to this year’s annual report from the SEC’s Office of Inspector General, budget constraints are affecting the SEC’s ability to fulfill its mission and mitigate the risks it is facing. Here’s an excerpt:
The current budget environment constrains the SEC’s ability to address each of the challenges described in this report. Flat funding for Fiscal Year (FY) 2024 required an Agency-wide freeze on hiring, as well as the elimination of certain performance bonuses and other employee benefits. Increasing personnel costs limit the resources available to update and improve legacy information systems, including information security. The changing regulatory environment will likely increase operational demands on the Agency and its staff. Lack of resources may hinder the Agency’s ability to meet these challenges, mitigate its risks, and pursue its vital mission.
On the plus side, the report says there’s been lower attrition this year. But in addition to the hiring freeze, funding limitations are making it difficult to keep pace with competitive compensation arrangements for staff. Depending on how appropriation laws shake out, the SEC may have to suspend some benefits. That could affect the agency’s ability to recruit and retain staff.
– Liz Dunshee