Tennessee Employment Law — full calculator

Frequently Asked Questions

• When must a Tennessee employer issue a final paycheck?

  Under Tennessee Code § 50-2-103 (as of 2026), employers must pay all earned wages by the later of: the next regular payday after the last day of work, or 21 calendar days after separation — whichever is later.

• Does Tennessee's final paycheck rule differ for fired vs. quit employees?

  No. The same 21-day / next-payday rule applies regardless of whether the employee was fired, laid off, or voluntarily resigned. Tennessee does not require same-day or next-business-day payment for discharged employees.

• Are non-compete agreements enforceable in Tennessee?

  Under Tennessee HB 1034 / SB 995 (as of 2026), non-compete agreements are prohibited for employees earning less than $70,000 per year. For employees earning $70,000 or more, enforceability is subject to a court's reasonableness analysis of the agreement's scope, duration, and geographic reach. The law applies to agreements executed or modified on or after July 1, 2025.

• What is the $70,000 threshold for Tennessee non-compete agreements?

  Tennessee HB 1034 / SB 995 sets a $70,000 annual-salary threshold. Employees earning below this amount cannot be legally bound by non-compete clauses under Tennessee law for contracts signed or modified on or after July 1, 2025.

• Does Tennessee require meal or rest breaks?

  Yes. Tennessee requires a minimum 30-minute unpaid break for any shift of 6 or more consecutive hours. There is no separate paid rest-break requirement. An exception applies in industries where the nature of the work provides adequate break opportunities (such as food service, daycare, and security).

• Does Tennessee have its own overtime law?

  No. Tennessee follows the federal FLSA standard: overtime pay at 1.5× the regular rate for hours worked over 40 in a workweek. There is no daily overtime threshold or double-time rule under state law (as of 2026).

• What is the minimum wage in Tennessee in 2026?

  Tennessee has no state minimum wage law and defaults to the federal minimum wage of $7.25 per hour (as of 2026). Tipped workers are covered by the federal tipped minimum of $2.13/hour, provided total pay with tips meets or exceeds $7.25.

• Does Tennessee require employers to provide sick leave?

  No. Tennessee does not mandate paid or unpaid sick leave for private-sector employees. Whether sick leave is offered — and on what terms — is entirely governed by employer policy or employment contracts.

• What happens if a Tennessee employer pays the final paycheck late?

  Late wage payment violates the Tennessee Wage Regulations Act. Employees can file a wage complaint with the Tennessee Department of Labor and Workforce Development after the legal deadline has passed. Employers may face civil penalties.

• Where can I find Tennessee's official labor law resources?

  The Tennessee Department of Labor and Workforce Development publishes employee rights, wages and breaks guidance, and complaint forms at tn.gov/workforce (as of 2026).