Automatic spending cuts that will trim federal spending by $85 billion this year won’t result in layoffs at the U.S. Securities and Exchange Commission, the agency’s inspector general said today.
Carl W. Hoecker, the SEC’s inspector general, told a subpanel of the House Appropriations Committee that sequestration “would result in no furloughs or reductions in force” at the regulator. Hoecker told lawmakers his source for the information was the SEC’s chief financial officer.
Hoecker told the subcommittee that he didn’t know whether spending cuts would delay the timing of SEC regulations or other program work. The SEC’s 2013 budget would be cut about 5.2 percent, from $1.32 billion to $1.25 billion, under a House spending bill passed last week.
SEC spokesman John Nester said the spending cuts would slow hiring and limit staff travel and training and “the speed with which we can complete activities we are working on.”