Are transgender federal employees protected against sex discrimination?

Diane J. Schroer served for 25 years in the U.S. military as a man (named David), becoming a terrorism specialist.

After retiring from the military, before she changed her name from David to Diane and before she began presenting as a woman, she applied for a Library of Congress position as a terrorism research analyst, and she was accepted.

Schroer appeared at all interviews as a man, but was in the process of transitioning to be a woman. But before starting the Library of Congress job, Schroer told an agency representative that she would start work as a woman. The next day, the job offer was rescinded.

Schroer filed a complaint of sex discrimination, and the library moved to have the case dismissed.

The case went before the District Court for the District of Columbia, which ruled that Schroer's case could proceed to trial.