President Donald Trump can fire employees of federal regulatory agencies without cause, the Supreme Court ruled on Monday.
The high court ruled 6-3 in favor of the Trump administration in Trump v. Slaughter. Rebecca Slaughter filed the lawsuit against the president and other executive branch officials, arguing she was wrongly fired as a member of the Federal Trade Commission in March 2025.
The court had to decide whether it would uphold Humphrey's Executor, a rule protecting employees of federal regulatory agencies from at-will termination that was established in a landmark decision in 1935. For the past 91 years, courts have protected the independence of regulators by pointing to the case.
In Trump v. Slaughter, the majority opinion said the "Humphrey's framework has not withstood the test of time" and the court therefore overrules it.
"The FTC unquestionably exercises executive power and must therefore be controlled by the Chief Executive," the majority opinion says. Barring the president from firing regulatory employees at will is therefore a breach of separation of powers.
"The FTC has the power to promulgate substantive rules carrying the force of law, investigate businesses and enforce statutes through inhouse adjudications, and file civil suits on behalf of the U.S."
This is breaking news. Check back for updates.
Write to emily.russell@barrons.com.
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June 29, 2026 10:50 ET (14:50 GMT)
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