Federal Employees Challenge Trump Administration's Ban on Gender-Affirming Care Coverage

Federal Employees File Complaint Over Gender-Affirming Care Ban

A group of United States federal employees has initiated a legal challenge against the Trump administration's recent policy change that eliminates coverage for gender-affirming care within federal health insurance programs. The complaint, filed on behalf of these employees by the Human Rights Campaign Foundation (HRC), targets the U.S. Office of Personnel Management (OPM), which announced the policy in August 2025. The new exclusion officially took effect on January 1, 2026.

The legal action argues that the policy constitutes unlawful sex-based discrimination, disproportionately affecting transgender federal workers and their families. It seeks the rescission of the policy, along with economic damages and other relief.

Details of the Policy Change

The Office of Personnel Management's August 2025 announcement informed insurance carriers participating in the Federal Employees Health Benefits (FEHB) and Postal Service Health Benefits (PSHB) programs that 'chemical and surgical modification of an individual's sex traits through medical interventions' would no longer be covered. This policy applies regardless of age.

However, the policy does include certain exemptions. Counseling services for individuals with gender dysphoria remain covered, and an exception is made for those who are 'mid-treatment within a surgical and/or hormonal regimen.'

Legal Arguments and Advocacy

The complaint asserts that denying coverage for gender-affirming care is a form of sex-based discrimination, violating constitutional protections and multiple federal anti-discrimination laws. Specifically, it cites Title VII of the Civil Rights Act of 1964, which prohibits employment discrimination, and Section 1557 of the Affordable Care Act, which bars discrimination on the basis of sex in federally funded health programs.

Kelley Robinson, President of the Human Rights Campaign Foundation, stated that the policy is 'not about cost or care – it is about driving transgender people and people with transgender spouses, children, and dependents out of the federal workforce.' Lambda Legal has also condemned the exclusion, with Counsel and Health Care Strategist Omar Gonzalez-Pagan calling it 'cruel' and 'illegal,' emphasizing that the federal government cannot 'simply strip away essential healthcare coverage from transgender employees.'

The complaint was initially filed with the Equal Employment Opportunity Commission (EEOC). Should the issue not be resolved with OPM, the plaintiffs intend to pursue class claims before the EEOC and potentially escalate to a class action lawsuit in federal court.

Broader Context of Administration Policies

This legal challenge is part of a wider pattern of restrictions on transgender healthcare implemented by the Trump administration. In December 2025, the U.S. Department of Health and Human Services proposed rules that would prevent hospitals providing gender-affirming care to children from receiving Medicaid and Medicare funding. Senior administration officials, including Health and Human Services Secretary Robert F. Kennedy Jr., have described gender-affirming care for minors as 'malpractice.'

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5 Comments

Avatar of Bermudez

Bermudez

Gender-affirming care saves lives. This policy is pure bigotry.

Avatar of Africa

Africa

The administration is right to put limits on these experimental treatments. Good policy.

Avatar of Muchacho

Muchacho

Denying care based on gender identity feels wrong, especially for adults who are federal employees. However, the legal challenges will need to address the administration's cost and medical efficacy arguments head-on, which won't be easy.

Avatar of Coccinella

Coccinella

Why are we paying for this? Not a necessary medical expense for federal workers.

Avatar of ZmeeLove

ZmeeLove

This is common sense. Protecting children from irreversible changes is paramount.

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