Why has Planet Fitness lost $400M in market value in 5 days? The controversy, explained

Planet Fitness stocks are plummeting in the wake of a curious controversy that may be driven by prejudice, as people react to the fitness giant’s locker room policy.

Among the largest fitness franchises in the world, Planet Fitness locations are broadly available across a number of countries. The widely-accessible company isn’t hurting for members, but it may be hurting for cash after its stock valuation took a major hit in mid-March. The issue all centers around a specific incident, which may well be the latest example of transphobic backlash to inclusive public spaces.

What’s behind the Planet Fitness controversy?

Planet Fitness saw its stock value dive by a good $400 million, from $5.3 billion to $4.9 billion, in just a matter of days, following backlash over the chain’s locker room policy. The issue was sparked by an incident at an Alaska location, in which a woman snapped a photo — against Planet Fitness policy — of someone she classified as male using the women’s locker room. It is still unclear whether the person in question identifies as male or female, but most people are assuming that they are a trans woman, and thus belonged in the women’s locker room.

But the incident is once again opening the door to transphobes, who leapt at the opportunity to once again falsely paint trans women as dangerous, as invading on women’s spaces — spaces in which they fully belong — and as a problem that needs to be solved in America. To be clear, none of these dog whistles are seen, by the vast majority of women, as legitimate, but they are used time and again to support bigoted policies taking aim at transgender people.

As a result, the vast majority of the backlash presently aimed Planet Fitness’ way comes from people purely angry about the chain’s inclusive locker room policy. Planet Fitness locations across the globe proudly state that “All members will have access to restroom and locker room facilities that correspond to their self-reported gender identity to the extent permitted by applicable law.” It even goes on to add that Planet Fitness “prohibits discrimination and harassment that is based on gender identity or gender expression in the workplace and in our clubs,” and even details different terminology relating to gender identity to ensure clarity. These rules allow people to use the locker room that suits their gender identity without judgement or issue — unless, of course, someone makes an issue for them.

Even if that wasn’t what happened with Patricia Silvia’s membership cancelation — which it seems to be — it’s how bigots are twisting the narrative online, and transphobia is blatantly the primary culprit behind those plummeting Planet Fitness stocks. A quick perusal of Twitter, the hate speech platform of choice, exposes just how many people are trumpeting the “go woke, go broke” narrative in regards to Planet Fitness, and celebrating the chain’s loss in income.

Planet Fitness is standing by its decision to support trans people and their gender identities, rather than small-minded people who can’t dish out the basic respect of calling someone by their preferred pronouns, but there’s no denying the price its paying. It’s hemorrhaging money at the moment, but LGBTQ+ people and their allies are already sweeping in to support the fitness franchise. Everything the MAGA movement sees wrong with the gym is what inclusive people celebrate, which may see its membership change up immensely. Out with the old, outdated, small-minded masses, in with the new.