Gender identities are recorded in the General section of the Personal > Confidential Information screen in People. The Gender Identity field is not required but can be used by the employee to voluntarily identify their gender.
This is an example of how to include the gender identity field in a custom XML form:
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<!--GenderIdentity-->
<Label>
<Style>IVLabel</Style>
<Block>1</Block>
<Row>4</Row>
<Column>0</Column>
<Caption>lblGenderIdentity</Caption>
<MarkAsRequired>false</MarkAsRequired>
</Label>
<Field>
<Style>IVComboBox</Style>
<Block>1</Block>
<Row>5</Row>
<Column>0</Column>
<BindingProperty>GenderIdentityId</BindingProperty>
<DataProvider>GenderIdentities</DataProvider>
<DisplayMemberPath>ShortName</DisplayMemberPath>
<SelectedValuePath>GenderIdentityId</SelectedValuePath>
<ContextDataProvider>
<Name>GenderIdentity</Name>
</ContextDataProvider>
<IsRequired>false</IsRequired>
</Field>