Denis M. Hughes, president of the New York State AFL-CIO, has been designated chairman of the New York Federal Reserve Bank’s board of directors for the remainder of 2009, the bank said.

Hughes, 59, has served as acting chairman since May, when Stephen Friedman resigned from the position to avoid the appearance of a conflict of interest over his ties to Goldman Sachs.

Friedman, a director on Goldman Sachs’ board and a former chairman of the investment bank, purchased shares in the bank while serving as chairman of the New York Fed.