NASHVILLE – Tennessee employers will be held harmless from employee layoffs resulting from the COVID-19 pandemic. Tennessee Department of Labor and Workforce Development Commissioner Jeff McCord has notified the leadership of the Employment Security division of changes to Tennessee law that allows employers across the state to avoid charges against their unemployment tax accounts.
Pursuant to Executive Order 77 issued by Gov. Bill Lee on Feb. 26, 2021, the Unemployment Insurance Division of the Tennessee Department of Labor & Workforce Development is directed to suspend the provisions of T.C.A. § 50-7-403(d) relating to base period contributory employers. The employer tax account of any contributory employer in a claimants’ base period for any unemployment benefits paid to a claimant as a result of the COVID-19 pandemic, and its effects, for the period of March 15, 2020 through March 14, 2021 shall be held harmless, and not charged.
