EEOC Says Federal Agencies May Now Deny Transgender Employees Use of Single-Sex Bathrooms
On February 26, 2026, the EEOC issued a decision holding that Title VII allows federal agencies to exclude transgender workers from using bathrooms that align with their gender identity. The ruling also applies to other federal agencies’ sex-segregated facilities, including changing areas, locker rooms, and sleeping quarters. In practice, this ruling now allows federal agencies to require transgender employees to use bathrooms and similar “intimate spaces” that correspond to their sex at birth. This effectively overturned a previous 2015 EEOC decision ruling that had protected transgender workers’ rights to access bathrooms consistent with their gender identity.
While the decision applies only to federal agencies, not to private sector employers, this signals a shift within the EEOC and a major policy reversal that is at odds with the Supreme Court’s decision in Bostock v. Clayton County, Ga., which held that Title VII’s prohibition of sex-based discrimination extended to discrimination on the basis of sexual orientation and gender identity. Thus, Driscoll tees up potential future challenges on the limits of Bostock and may potentially pressure employers to potentially roll back inclusive bathroom policies, which could itself pose legal risks.
Please consult with your D+G counsel with any questions about this decision or potential impact on workplace policies.