Trump removes Democrat FTC commissioners raises Federal Reserve concerns

 March 20, 2025

President Donald Trump's latest move against regulatory agency officials has sent shockwaves through Washington's political landscape.

According to Breitbart News, the president fired Federal Trade Commission (FTC) Commissioners Alvaro Bedoya and Rebecca Kelly Slaughter on Tuesday, sparking debates about the constitutional implications for independent regulatory agencies.

The unprecedented dismissals challenge the 1935 Supreme Court decision that restricted presidential authority to remove officials from independent regulatory agencies like the Federal Reserve and FTC. Both commissioners immediately denounced their terminations as illegal, with Bedoya asserting that Trump aims to transform the commission into a compliant entity for his associates. Slaughter warned that this action could potentially threaten Federal Reserve Chair Jerome Powell's position.

Trump administration defends controversial FTC shake-up

White House assistant press secretary Taylor Rogers emphasized the president's constitutional authority over executive branch personnel decisions. The administration maintains that these changes align with Trump's mandate to restructure federal agencies according to his policy agenda.

FTC Chair Andrew Ferguson publicly supported the president's decision, highlighting Trump's role as head of the executive branch. Ferguson assured the public that the commission would continue its consumer protection mission despite the reduced membership.

The removals leave only two Republican commissioners, Ferguson and Melissa Holyoak, to manage the typically five-member commission. Trump nominee Mark Meador awaits Senate confirmation for the third position.

Federal Reserve independence faces potential threat

Former FTC officials express concern about the broader implications of these dismissals for other independent agencies. Some speculate the timing suggests a deliberate message to the Federal Reserve leadership.

The relationship between Trump and Fed Chair Powell has been notably strained since 2018. Despite nominating Powell during his first term, Trump has frequently criticized the chairman's monetary policy decisions.

Breitbart News economics editor John Carney, speaking on Fox Business's Kudlow show in November 2024, offered his perspective on Trump's authority. Carney stated:

Donald Trump should ignore him. I think Donald Trump actually has the legal authority to remove him. I do not believe that executive branch officers, which essentially is what he is, he's appointed by the president, can serve once they have lost the confidence of the president.

Critics condemn unprecedented agency interference

Former FTC Chair Lina Khan joined the chorus of opposition to the dismissals. She characterized the action as benefiting corporate interests at the expense of American consumers and workers.

Legal experts anticipate court challenges to the terminations. Slaughter emphasized the statutory protections for commission independence, stating:

The law protects the independence of the Commission because the law serves the American people, not corporate power.

The controversy has sparked intense debate about the balance between presidential authority and agency independence. Constitutional scholars are closely monitoring potential implications for other regulatory bodies.

Presidential power reshapes regulatory landscape

President Trump fired FTC Commissioners Alvaro Bedoya and Rebecca Kelly Slaughter, challenging long-standing precedents about independent agency autonomy. The dismissals occurred amid growing tensions between the administration and regulatory bodies, particularly highlighting potential implications for Federal Reserve independence. The controversial move leaves the FTC with only two Republican commissioners while Trump nominee Mark Meador awaits Senate confirmation. Legal challenges are expected as critics argue the firings violate established Supreme Court precedent and statutory protections for commission independence.

About Robert Cunningham

With years of experience at the forefront of political commentary, Robert Cunningham brings a blend of sharp wit and deep insight to his analysis of American principles at the Capitalism Institute.
Copyright © 2025 - CapitalismInstitute.org
A Project of Connell Media.
magnifier