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Fortune
Fortune
Amanda Gerut

Supreme Court gives Trump unprecedented power to fire regulators—except Federal Reserve Chair Jerome Powell

US Federal Reserve Board Chairman Jerome Powell pauses during a news conference following a Federal Open Market Committee meeting at the Federal Reserve in Washington, DC, on May 7, 2025.
  • The Supreme Court has decided that President Trump’s firings of government agency members will stand as the cases work their way through the lower courts, giving the president unfettered power to oust regulators without good cause. However, the court spared the Federal Reserve in the ruling, writing that the Fed is uniquely situated and unlike other government agencies. Justice Elena Kagan sharply dissented, writing that the court’s ruling was “nothing short of extraordinary.”

A landmark Supreme Court decision has challenged 90 years of precedent by handing President Trump the power to fire the heads of government agencies, while sparing the Federal Reserve.

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