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Washington, D.C. — June 3, 2026

The Trump administration is facing a new legal challenge from federal employees over a policy, effective Thursday, that eliminates coverage for gender-related healthcare services in federal employee health insurance plans.

The Human Rights Campaign filed a formal complaint Thursday with the Equal Employment Opportunity Commission on behalf of current federal workers. The complaint challenges an August directive from the Office of Personnel Management that ends coverage for “chemical and surgical modification of an individual’s sex traits through medical interventions” under the Federal Employees Health Benefits Program and plans covering U.S. Postal Service employees.

The complaint argues that the denial of coverage for gender-transition care amounts to sex-based discrimination and calls on the personnel office to withdraw the 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, in a statement released with the filing.

The complaint includes statements from four federal employees working at the State Department, the Department of Health and Human Services, and the U.S. Postal Service. These workers say the loss of coverage will directly affect their families. One Postal Service employee described how doctors have recommended puberty blockers and possibly hormone replacement therapy for her daughter, who has been diagnosed with gender dysphoria. Those treatments would no longer be covered under the new OPM policy.

The employees are bringing the claim on their own behalf and on behalf of a “class of similarly situated federal employees.”

The filing comes as the Trump administration has moved aggressively to restrict access to gender-affirming care, particularly for minors. In December, the Department of Health and Human Services proposed rules that would bar hospitals from providing gender-transition services to minors if they receive Medicare or Medicaid funding. Health and Human Services Secretary Robert F. Kennedy Jr. has publicly described such care for minors as “malpractice.”

These restrictions run counter to positions held by major medical organizations, including the American Medical Association and the American Academy of Pediatrics, which support gender-affirming care as medically appropriate when clinically indicated.

Last week, the Republican-controlled House of Representatives passed legislation that would criminalize gender-transition treatments for minors, including surgeries and hormone therapies, and impose prison sentences of up to ten years on providers who violate the ban. The bill passed on a 216-211 vote, almost entirely along party lines.

Civil rights groups described the measure as one of the most far-reaching anti-transgender bills ever considered by Congress. It is considered unlikely to advance in the Senate, where it would need bipartisan support to overcome procedural hurdles.

The legislation was advanced after Representative Marjorie Taylor Greene (R-Ga.) conditioned her support for a defense policy bill on Speaker Mike Johnson bringing her measure to the floor. Greene said the bill fulfills a key campaign promise made by President Trump and codifies his executive order restricting gender-affirming medical procedures.

“Most Americans agree that kids just need to grow up before they do anything radical, like a mastectomy on a 15-year-old girl,” Greene said during floor debate, displaying an image of a minor who had undergone such a procedure.

The complaint filed Thursday marks the latest flashpoint in the widening conflict between the Trump administration’s healthcare policies and federal workers who say those policies will harm them and their families.