Changes Coming to Tennessee's Unemployment Benefits Program

Several Legislative Mandates Will Modify Aspects of Tennessee Unemployment

Monday, October 23, 2023 | 02:20pm

NASHVILLE – The Tennessee Department of Labor and Workforce Development (TDLWD) will implement indexing for Tennessee unemployment benefits, as well as several other changes to comply with legislation passed by members of the Tennessee General Assembly in 2021, 2022, and 2023.

Below, is information about the new laws that mandate indexing and other changes to Tennessee’s unemployment benefits program.

1) Indexing - Public Chapter 560 ‘revises provisions governing benefits formula under the Tennessee Employment Security Law’ passed by the Tennessee General Assembly in 2021.

a. This legislation raises the maximum weekly benefit amount (WBA) and changes the maximum number of weeks eligible in a benefit year.

i. This legislation changes the WBA to a maximum of $325.

ii. This legislation indexes the number of weeks a claimant is eligible for benefits due to economic conditions.

2) Short-Term Compensation (STC)/Workshare - Public Chapter 1086 establishes a voluntary shared work unemployment benefits program that allows certain employers to submit a plan for approval to the Department of Labor and Workforce Development to reduce employee work hours instead of furloughing staff. Once approved, employers may work their staff on a reduced schedule and allow their employees to access a percentage of unemployment compensation benefits passed by the Tennessee General Assembly in 2022.

3) Employer Reporting Fraud - Public Chapter 403 makes changes to methods for employers to report certain conduct of claimants passed by the Tennessee General Assembly in 2023.

4) Four (4) weekly Work Search Activities - Public Chapter 403 makes changes to the Tennessee Employment Security Law relative to benefit eligibility conditions and disqualifications events passed by the Tennessee General Assembly in 2023.