Four federal workers are challenging a Trump administration policy that eliminates coverage for gender-affirming medical care from federal employee health plans, alleging it violates sex discrimination protections.
In a formal complaint filed with the Equal Employment Opportunity Commission (EEOC), the employees, represented by the Human Rights Campaign (HRC), argue that the policy unlawfully targets transgender individuals and their families by excluding essential, medically recommended care.
The rule, first announced in August 2025, took effect on January 1, 2026. It prohibits federal health insurance plans from covering what it describes as “chemical and surgical modification of an individual’s sex traits through medical interventions.” However, the rule allows for continued coverage of counseling services, including those provided by controversial faith-based providers.
According to the complaint, the policy discriminates on the basis of sex in violation of existing federal civil rights protections, and the plaintiffs are seeking relief not only for themselves, but for all federal workers and dependents who would be impacted.
One of the plaintiffs is a postal worker whose daughter is currently receiving gender-affirming care. Her doctors have recommended puberty blockers and potentially hormone replacement therapy. Such interventions would no longer be covered under the new policy.
“This 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,” said Kelley Robinson, President of the Human Rights Campaign Foundation.
The complaint faces significant institutional obstacles. During his time in office, President Trump reshaped the EEOC by removing commissioners appointed by Democrats and replacing them with ideological allies. EEOC Chair Andrea Lucas, appointed during Trump’s tenure, has publicly stated her commitment to defending what she calls “the biological and binary reality of sex.” Internal reports from former staff allege that during the Trump administration, EEOC personnel were instructed to remove references to transgender and nonbinary individuals from internal and external agency materials.
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Legal experts say the outcome of the case could have broad implications for how anti-discrimination laws are applied to transgender health care access in federal workplaces. With the EEOC currently aligned with anti-LGBTQ+ leadership, advocates expect the case may face delays or require appeal to higher courts.
The policy change represents a significant rollback of protections gained in recent years, and LGBTQ+ advocacy organizations are warning of its potential ripple effects beyond the federal workforce.
As litigation proceeds, the case is being closely watched by civil rights groups, legal scholars, and the broader LGBTQ+ community.