Despite that the ban on gay troops ended more than a decade ago, a surprisingly small fraction of the tens of thousands of vets affected have accessed benefits they are due.

The Pentagon has now agreed to settle a class action lawsuit that may change that for about 35,000 veterans.

“This settlement is not just about correcting records; it’s about restoring the honor and pride that LGBTQ+ veterans have always deserved but were denied,” said Lilly Steffanides, a U.S. Navy veteran and plaintiff in the case. “I hope this brings justice to others who served with courage, only to face exclusion and discrimination.”

Steffanides told NPR in 2023 that the stigma of being suddenly “outed” to their family in 1988, led to years of addiction and homelessness. Having an “other-than honorable” discharge meant no automatic access to VA benefits or health care. It’s a scarlet letter when employers ask about military service; many veterans would deny they ever served rather than reveal paperwork that showed they were kicked out for homosexual activity.

In 2011, after a long campaign by LGBTQ veterans and activists, the Obama administration ended the ban. In the years since, the integration of gay and lesbian troops has been heralded as a huge success with no effects on unit cohesion or combat readiness, according to the Pentagon. But the plaintiffs in the lawsuit say the lingering stigma and a mountain of red tape kept many veterans from even applying to upgrade their military discharge status and get the benefits they had earned.

The Pentagon announced a proactive review of discharges under “don’t ask, don’t tell” — the 1993 Clinton administration policy that banned troops from being open about their sexuality — last October, but this proposed settlement agreed to Monday will speed up that process considerably if approved by California’s Northern District Court. Instead of individual applications, the settlement will allow veterans to have their records reviewed in large groups, delivering access to VA benefits and Honorable Discharge papers as early as this summer.

“This proposed settlement delivers long-overdue justice to LGBTQ+ veterans who served our country with honor but were stripped of the dignity and recognition they rightfully earned due to discriminatory discharge policies. It marks a crucial step in addressing this deep-seated injustice and ensuring these veterans receive the acknowledgment and respect they have long been denied,” said Jocelyn Larkin, an attorney on the plaintiffs’ legal team.

The Pentagon referred questions to the Department of Justice, which declined NPR’s request for comment.

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