In a ruling expanding the power of the President to change the leadership of so-called independent federal agencies in a change in administrations or otherwise, the U.S. Supreme Court has ruled that the President has the authority to fire at will government officials of independent federal agencies exercising at least some executive power. Trump v. Slaughter, No. 25-332, ___ U.S. ___ (6/29/26). The 6-3 decision arose when President Trump fired Democratic Federal Trade Commission member Rebecca Kelly Slaughter, despite a law that says commissioners can be removed only for specified reasons. The Court held that the Federal Trade Commission’s (FTC) for-cause removal provision is contrary to the separation of powers set forth in the Constitution. The Constitution vests “the Executive power” in a “President of the United States of America” and instructs that he “take Care that the Laws be faithfully executed.” The Court suggested that to vest the executive power in one person meant that he had below him various “assistants or deputies” who “derive their offices from his appointment” and remain “subject to his superintendence.” Thus, to remain accountable to the President, those officers must be removable at the will of the President.
Because the Court found the activities of the FTC are within the heartland of executive power, the Court does not address the bounds of what such power entails. That is, not all offices created by Congress necessarily come with executive power. The Court gave an example that the Federal Reserve was outside the scope of its ruling. The Court’s ruling only indicates that those who fall within the President’s “general administrative control,” must be removable by the President at will.
It is highly likely that the scope of this ruling will affect government bodies that oversee labor relations, like the National Labor Relations Board (NLRB) and the Equal Employment Opportunity Commission (EEOC), as well as numerous other government agencies. The effect will be that when an administration changes, the incoming President will be able to immediately terminate the roles of the heads of various independent federal agencies, resulting in an immediate potential for policy change in regulatory and enforcement priorities. Even during the term of the new President, the President will have authority to immediately remove agency heads that do not comply with his policies. The result would be that these agencies operate much less independently and have a greater tendency to support the agenda of the Presidential Administration. Previously staggered terms and partisan balancing among agency commissions and/or members made it likely to lead to a change over a period of time for the application of the policies of the new administration, while now such changes can occur quite quickly. Some agencies will become more likely to support the agenda of the incoming Presidential Administration. Further, such independent agencies, boards and commissions will be more likely to modify their positions in policy matters to be consistent with that of the new administration, as otherwise they would be subject to termination at will. Congress, of course, will still retain the power to eliminate federal agencies as part of its powers.
This article is part of our August 2026 Newsletter.
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