The court ruled that presidents can remove heads of most independent federal agencies, but allowed Federal Reserve Governor Lisa Cook to remain in office while her legal challenge proceeds
The Supreme Court of the United States has significantly broadened presidential authority by ruling that the US president can dismiss the heads of most independent federal agencies, while making an exception for the Federal Reserve.
In a 6-3 decision, the court said legal protections limiting a president’s ability to remove agency officials violate the constitutional separation of powers. Chief Justice John Roberts wrote that such restrictions are incompatible with the Constitution.
The ruling upholds President Donald Trump’s dismissal of members of several independent agencies, including former Federal Trade Commission commissioner Rebecca Slaughter, despite federal laws requiring cause for their removal. The decision overturns key parts of the court’s 1935 ruling in Humphrey’s Executor v. United States, which had limited presidential power over independent agencies.
However, in a separate 5-4 ruling, the court allowed Federal Reserve Governor Lisa Cook to remain in office while she challenges Trump’s attempt to remove her over allegations of mortgage fraud, which she denies. The court said removing Cook before judicial review would undermine the Federal Reserve’s independence.
Justice Sonia Sotomayor dissented, warning that the decision grants the president unprecedented authority over independent agencies.
The ruling is expected to have wide-ranging implications for the balance of power between the White House and federal regulators overseeing sectors including labour, consumer safety and financial markets.
