What Does Federal Fertility Benefits Push Mean for Employers, Workers?

On Oct. 16, U.S. President Donald Trump unveiled a pathway for employers to provide fertility benefits to employees by structuring them as standalone optional coverage — similar to dental and vision coverage.

That same day:

• He announced an agreement with pharmaceutical company EMD Serono that would offer its Gonal-F fertility drug at a discounted rate through a federal government website starting in early 2026.
• The U.S. Food and Drug Administration (FDA) fast-tracked review of another lower-cost EMD Serono fertility drug that, if approved, would expand the treatment options available to patients. The drug is available in Europe but currently not in the U.S.

These efforts, when combined, aim to expand access to in vitro fertilization (IVF) and other fertility treatments. Experts contacted for this Workspan Daily article agreed that employers that lean into these government actions and subsequently offer related benefits to their employees could boost their employee retention, engagement and total rewards (TR) satisfaction.

“For employers, this represents more than just a policy update,” said Neel Shah, chief medical officer at the Maven Clinic, in an article posted on the virtual healthcare provider’s website. “It’s an opportunity to expand access to critical healthcare services, control spending and improve outcomes for employees navigating their fertility journey.”

Momentum Toward Addressing a Need for Some Workers

Consider that:

• Infertility impacts 1 in 6 people globally, according to research from the World Health Organization (WHO).
• Approximately 40% of U.S. employers currently offer fertility-related benefits, according to a 2024 survey by the International Foundation of Employee Benefit Plans. Research by Resolve: The National Infertility Association put the figure at closer to 20%.
• And, data from research and analytics company Perry Undem showed 73% of American workers want their employer’s health insurance to cover the full range of reproductive healthcare.

The new federal policies aim to subtly address those numbers.

“The federal government’s recent actions on fertility benefits aren’t a mandate, they’re momentum,” said TJ Farnsworth, the founder and CEO of Inception Fertility, a Houston-based fertility care company.

Joint guidance issued by the U.S. Departments of Labor, Health and Human Services, and the Treasury explained how employers can make fertility benefits available as “excepted benefits,” which are:

• Employer provided but offered separately from — and as a supplement to — standard health insurance plans; and,
• Not subject to certain federal health insurance laws because they are limited, supplemental or not considered health coverage at all.

The new guidance gives employers clearer, compliant ways to offer fertility and IVF support, whether through an excepted benefit plan or a defined allowance, Farnsworth said.

“That clarity matters because it removes hesitation,” he said. “Total rewards leaders can now confidently add or expand fertility benefits without overhauling their entire [existing] medical plan.”

Finances and Possible Returns on Investment

Alise Powell, the director of government affairs for Resolve, noted that the new drug pricing agreements will help lower the cost of certain fertility medications. “These changes open the door for employers to support family-building care options who previously faced cost barriers,” she said.

For employers, this may be both a talent and corporate values opportunity, Farnsworth said.

“Fertility coverage sends a powerful signal about inclusion,” he said. “It supports employees at every stage of family-building, including single parents and LGBTQ+ families.”

Some pundits and employer groups had anticipated tax credits to come with a federal government program; those were not part of the Oct. 16 announcements. However, adding or expanding fertility benefits could be a smart investment for many employers.

“Employers can set defined budgets, work with specialized partners and still provide meaningful access to care that was once out of reach for many,” Farnsworth said, adding that, as with any health benefit, thoughtful design and strong clinical standards are key to responsibly managing costs.

Research published by the American Journal of Managed Care showed employers that offer comprehensive fertility benefits experience higher retention, stronger engagement and fewer stress-related absences. According to 2025 Maven research, 81% of surveyed workers who utilize fertility benefits were more engaged and productive at work and 96% were more loyal to their employer. Additional research cited by Inception Fertility found nearly 90% of employees would consider moving to organizations that offer fertility benefits.

“Offering fertility benefits … supports a family-friendly workplace,” Powell said. “[Employees] with access to family-building support are less likely to leave their workplace, which helps reduce the cost of turnover.”

Take the Next Steps

Given all this information, how might TR professionals and their organizations proceed? Powell recommended that they:

• Take this opportunity to assess fertility benefits within the TR offering and review any gaps in current fertility coverage for employees.
• Ask whether current benefit offerings support all employees in their family-building journey.
• Communicate clearly with employees about what is currently being offered, and explore standalone options to expand access to care.

“Fertility benefits are a strategic investment,” Powell said. “With [the] new federal guidance, it’s easier for employers to offer comprehensive access to care.”

Farnsworth agreed with that assessment, stating, “More people are going to look for companies that offer fertility coverage as part of a comprehensive benefits package. We see fertility benefits as part of a modern, equitable total rewards strategy — one that recognizes that building a family is a deeply personal, yet widely shared, human goal.”

Editor’s Note: Additional Content

For more information and resources related to this article, see the pages below, which offer quick access to all WorldatWork content on these topics:

• Equitable and Diverse Workplaces
• Employee Benefits
• Total Rewards
• Well-Being