President Obama named Jacob J. Lew, an Orthodox Jew, to be his next chief of staff.
Lew will replace William Daley, who will be leaving at the end of the month.
Obama announced the personnel changes Monday at a press conference.
Lew is the director of the Office of Management and Budget, a Cabinet-level position and a post he also filled during the Clinton administration. He previously was Obama's deputy secretary of state.
Daley is leaving after just over a year on the job. He had succeeded Rahm Emanuel, who left the White House to run successfully for Chicago's mayor.
Lew, like Emanuel, has close Jewish community ties.
There had been speculation in the organized Jewish community about whether Obama would fill a top spot with someone close to the Jewish community after the departure last month of Dennis Ross, who had been Obama's top Iran policy adviser.
The Orthodox Union praised the appointment. “We commend President Obama for appointing Mr. Jack Lew as White House Chief of Staff," said Managing Director Rabbi Steven Burg and Executive Director for Public Policy Nathan Diament in a statement. "Our community takes great pride in the appointment of the first member of our community to this position of great responsibility. We wish Mr. Lew a hearty ‘Mazal Tov’ on his historic appointment and best wishes in his new role in serving the president and people of the United States.”