As the third generation in her family to work in her local health care system, Kloosterman served her community for 17 years at Michigan Health. She regularly received exemplary reviews, and supervisors called her “professional,” “very ethical,” and a “pleasure to work with.” She treated all her patients respectfully, regardless of their background, sexual orientation, or declared gender.
But then the University of Michigan Health System took over her clinic.
In summer 2021, after mandatory “diversity and inclusion” training, she asked for a religious accommodation because she could not affirm statements about gender that violated her Christian beliefs, nor could she participate by referring patients for sex-obscuring surgeries or using pronouns that conflicted with human biology.
During follow-up meetings, a Michigan Health diversity representative called Kloosterman “evil,” blamed her for gender dysphoria-related suicides, and told her she could not take the Bible or her religious beliefs to work with her. Less than a month later, she was fired.
After she filed a charge of discrimination with the Equal Employment Opportunity Commission, Valerie’s attorneys at First Liberty sent a letter to Michigan Health asking for her reinstatement, but Michigan Health refused.
So, in October 2022, First Liberty filed a federal lawsuit on behalf of Valerie. Then, in September 2023, Federal Judge Jane Beckering allowed Valerie’s Free Exercise, Equal Protection, and Title VII religious discrimination claims to proceed.
Close to two years later, in February 2025, the Sixth Circuit Court of Appeals heard oral argument in the case.
Then in August 2025, the Sixth Circuit ruled in favor of Valerie, holding that Michigan Health’s request for arbitration came too late. The court held that “defendants may not play ‘heads I win, tails you lose’ by keeping arbitration in reserve just in case.” This ruling strengthens the legal protections for employees whose constitutional rights are at stake.
Under the new policy, employees will not be required to perform or assist with gender transition treatments, including procedures, medications, and referrals, if doing so would violate the employee’s sincerely-held religious belief. Employees also will not be required to use pronouns in a way that violates their sincerely-held religious belief or conscience.
“Title VII prohibits employers from discriminating against and punishing employees for their faith,” said Kayla Toney, Counsel at First Liberty. “Valerie is an exceptional physician assistant who cares for each of her patients. Employers cannot drive out people like Valerie just because of their sincere religious beliefs. We are grateful to have resolved this matter with University of Michigan Health-West.”
News Release
For Immediate Release: 7.29.26
Contact: Natalie Konstans, media@firstliberty.org
Direct: 972-941-4453
University of Michigan Health-West to Change Gender Transition Policy, Conduct Trainings, and Pay Damages, Resolving Case Brought by Fired Christian Physician Assistant
Under new policy, employees will not be required to assist in gender transitions or use pronouns contrary to religious beliefs.
Grand Rapids, MI—First Liberty Institute, Clement & Murphy LLP, LightStone Law, and Bossenbrook Williams PC reached a settlement with University of Michigan Health-West in favor of Valerie Kloosterman, a physician assistant who was fired because of her religious beliefs about gender. The settlement requires UMHW to create a religious accommodation policy in accordance with the law, notify and train all its employees, grant reasonable religious accommodations without retaliation, and pay $410,000 in damages and fees to Ms. Kloosterman and her attorneys.
Under the new policy, employees will not be required to perform or assist with gender transition treatments, including procedures, medications, and referrals, if doing so would violate the employee’s sincerely-held religious belief. Employees also will not be required to use pronouns in a way that violates their sincerely-held religious belief or conscience.
“Title VII prohibits employers from discriminating against and punishing employees for their faith,” said Kayla Toney, Counsel at First Liberty. “Valerie is an exceptional physician assistant who cares for each of her patients. Employers cannot drive out people like Valerie just because of their sincere religious beliefs. We are grateful to have resolved this matter with University of Michigan Health-West.”
Valerie Kloosterman said, “All I wanted to do was provide the best care possible to my patients without being forced to violate my Christian beliefs. This new policy ensures that providers of faith and employees at UMHW will receive religious accommodations so that they can provide excellent care consistent with their medical judgment, because all patients are created in the image of God.”
Valerie worked as a physician assistant at UMHW for 17 years. She had an exemplary reputation with patients of all beliefs and backgrounds. But when Valerie raised her faith-based concerns about a mandatory gender identity training, she was met with hostility toward her religious beliefs and fired in August 2021. Valerie sued to vindicate her constitutional rights and to protect other healthcare providers and employees from similar discrimination. The parties now have reached a favorable settlement that vindicates Valerie’s stellar record and creates robust protections for other religious providers.
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About First Liberty Institute
First Liberty Institute is the largest legal organization in the nation dedicated exclusively to defending religious freedom for all Americans.
To arrange an interview, contact Natalie Konstans at media@firstliberty.org or by calling 972-941-4453.
CASE SUMMARY
PRESS RELEASES
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PHOTOS AND VIDEO
