Overview
- The parties reached a settlement on July 29 that resolved Valerie Kloosterman’s federal case, led to a court dismissal, and required University of Michigan Health‑West to pay $410,000 in damages and legal fees.
- Under the new policy the hospital will not require employees to perform or assist with gender‑transition procedures, medications, or referrals if those actions conflict with an employee’s sincerely held religious belief.
- The policy also says employees will not be required to use preferred pronouns in a way that violates their religious beliefs and that the system will notify and train staff on the accommodations and non‑retaliation rules.
- Kloosterman was fired in August 2021 after refusing to refer patients for transition treatments and to use pronouns she said contradicted her Christian beliefs; she filed an EEOC complaint and sued in federal court in October 2022.
- The case cleared major procedural hurdles after the Sixth Circuit rejected the hospital’s attempt to force arbitration, and legal observers say the settlement may prompt other health systems to revise conscience and accommodation rules.