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AbstractThe diversity management literature is inconsistent regarding factors that affect job satisfaction of marginalized groups. We examine job satisfaction of LGBTs in the US federal workforce by following the path of the diversity management and job satisfaction research. We empirically test this relationship using the 2014 Federal Employee Viewpoint Survey employing confirmatory factor analysis and structural equal modelling. We find that increased perceptions of a culture of diversity contribute to LGBT employee perception of their skills being effectively utilized as well as employee job satisfaction. We also find that LGBT's perception of their skills directly contributes to job satisfaction. We conclude by offering policy implications for public managers to consider when developing diversity management strategies for marginalized groups. Copyright © 2016 ASAC. Published by John Wiley & Sons, Ltd.