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Tennessee Employment Contract Template

Set clear terms for employment in Tennessee with our customizable template. Define pay, duties, benefits, and workplace policies while protecting both employer and employee.

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1,109 Ratings
  • Duration 2 min
  • Download as PDF and Word
  • E-sign included

Written by Josh Sainsbury | Attorney-Reviewed by Harvey Barbee, J.D.

How It works?

1

Answer a Few Questions

Provide job details like title, pay, benefits, and start date to start your Tennessee contract.

2

Customize Your Contract

Our builder generates a professional agreement based on your responses.

3

Download and Finalize

Save your contract as a PDF or Word file, then review and sign with your employee.

Table of Contents

  1. What Is a Tennessee Employment Contract?
  2. Key Tennessee Hiring Rules That Affect Your Contract
  3. How to Write a Tennessee Employment Contract

What Is a Tennessee Employment Contract?

A Tennessee employment contract is a written agreement between employer and employee that establishes responsibilities, pay, and workplace policies. Tennessee follows the at-will employment rule, which means either party can end the relationship at any time unless a contract, handbook, or law provides otherwise.

Key Tennessee Hiring Rules That Affect Your Contract

  • At-will employment: Employment is at-will unless modified by contract. Exceptions exist for discrimination, retaliation, or public policy violations.
  • Minimum wage: Tennessee does not have a state minimum wage. Federal minimum wage of $7.25/hour applies under the Fair Labor Standards Act (FLSA).
  • Overtime: FLSA governs—non-exempt employees must receive 1.5× pay for hours worked over 40 per week.
  • Meal/rest breaks: Tennessee requires a 30-minute unpaid meal break for employees scheduled to work 6+ consecutive hours (Tennessee Code § 50-2-103). Short rest breaks under 20 minutes must be paid under federal law.
  • Paid leave: No state law requires private employers to offer vacation, sick leave, or holiday pay. Employer policies control.
  • Pay frequency: Wages must be paid at least once per month (TN Code § 50-2-103).
  • Final pay: Wages are due by the next regular payday or within 21 days after termination, whichever comes later (TN Code § 50-2-103(g)).
  • Child labor: Minors under 14 generally may not work. Ages 14–15 face restrictions on hours during school days, and hazardous work is prohibited for those under 18. Work permits may be required.
  • Non-competes: Enforceable if reasonable in time, scope, and geography, and if protecting a legitimate business interest (case law applies, and they may be narrowly construed). Tennessee law bans non-competes for employees of temporary healthcare staffing agencies.
  • E-signatures: Valid under the Uniform Electronic Transactions Act (TN Code § 47-10-107).
  • Recordkeeping: Employers must comply with FLSA recordkeeping requirements—generally at least 3 years for payroll and employment records.

How to Write a Tennessee Employment Contract

When drafting a Tennessee employment contract, make sure to cover these elements:

  1. Add party details: Include employer and employee names, job title, and start date.
  2. Define job duties: Describe the role, responsibilities, supervisor, and work location.
  3. Set pay and schedule: List hourly wage or salary, pay frequency, and overtime eligibility.
  4. Break and leave policies: Note meal and rest break requirements, along with any company PTO or sick leave policies.
  5. List benefits: Provide details on health insurance, retirement, or other benefits offered.
  6. Confidentiality and IP: Include clauses protecting business trade secrets and ownership of work product.
  7. Restrictive covenants: Add reasonable non-compete or non-solicitation clauses if necessary as allowed by state law.
  8. Termination terms: Reaffirm at-will employment and specify notice procedures or severance, if applicable.
  9. Finalize contract: State Tennessee law as governing law and allow for electronic signatures.