Target makes stand on transgender toilets

Target says its employees and customers can use the bathroom or fitting room facility that corresponds with their gender identity.

US Target says its employees and customers can use the bathroom or fitting room of their gender. (AAP)

Target is making a stand on the debate around what type of bathrooms transgender people can use.

In a statement posted on its company website, the discounter, based in Minneapolis, said transgender employees and customers can use the restroom or fitting room facility that "corresponds with their gender identity."

"Inclusivity is a core belief at Target," said the retailer in a statement. "It's something we celebrate."

The statement comes as a national debate is exploding over whether to restrict transgender people to using public bathrooms that only match their sex at birth.

North Carolina is facing backlash for its recent ban on local anti-discrimination ordinances.

Several musicians including Bruce Springsteen have cancelled planned tour stops in North Carolina, and PayPal pulled back on plans to open a 400-employee operation center in Charlotte in response to the new law.

Other states are considering legislation similar to that adopted by North Carolina.

Target Corp says it regularly assesses issues and considers many factors that would impact business, customers and workers.