SEC Purge: 447 Jobs Axed, $2.1B Budget Burned With Little to Show Under Gensler—Trump Era Looms

Regulatory carnage at the SEC as leadership turnover triggers mass layoffs. The agency slashed 447 positions after Gensler's exit—burning through a $2.1B budget with questionable ROI.

Now the crypto industry braces for Trump's return, wondering if deregulation will spark innovation or just another cycle of bureaucratic whiplash. Because nothing says 'financial oversight' like wasting taxpayer millions on musical-chairs enforcement.

Under President Donald Trump’s administration, the U.S. Securities and Exchange Commission (SEC) will cut 447 jobs next year, even as it requests a $2.149 billion budget for Fiscal Year 2026 — the same amount it received in the past two years.

Same Budget, Smaller Workforce

On May 30, SEC Chairman Paul Atkins submitted the agency’s 2026 budget request to Congress, fully supporting President Trump’s flat funding plan. The budget remains steady at $2.149 billion, but the number of full-time staff will drop from 4,547 to 4,100 — a significant cut of nearly 10%.

The reduction comes after many employees accepted early retirement and buyout offers in 2025. Interestingly, despite the shrinking staff, the budget request is about $100 million higher than what’s needed to maintain current services at the reduced workforce level.

Chairman Atkins said the SEC will look to fill essential roles and boost its use of technology and data tools to compensate for the staffing shortfall. Still, with fewer people and rising responsibilities, the agency faces a challenging 2026.

Crypto Oversight Gets Focus, but Resources Shrink

The SEC says it plans to use the budget to stay focused on its “core mission” and meet the increasing demands of its crypto Task Force.

However, there’s added uncertainty, as the proposal also hints at a possible merger of the Public Company Accounting Oversight Board (PCAOB) into the SEC in 2026 — which could strain resources further if the agency isn’t allowed to replace departing staff.

15% Workforce Decline Already

The agency has already seen its headcount drop by 15% this year alone. SEC staff numbers fell from around 5,000 employees to 4,200, while contractor numbers dropped from 2,000 to 1,700.

Experts worry these staffing cuts could weaken the SEC’s ability to police financial markets, pursue fraud cases, and monitor the fast-growing crypto industry.