House Bill 2248 amends various sections of the Tennessee Code Annotated to establish a new minimum wage framework. Under the new provisions, starting January 1, 2027, the state minimum wage will be set at $20.00 per hour, with annual adjustments based on the consumer price index (CPI-U) beginning January 1, 2028. Employers are required to pay employees at least the greater of the federal minimum wage or the state minimum wage, and they must also pay overtime at a rate of one and one-half times the regular wage for hours worked over 40 in a week. Additionally, employers must keep a summary of the new wage rules posted in their workplaces.
The bill also outlines the enforcement mechanisms for violations of the minimum wage requirements, including liability for unpaid wages and damages equal to the unpaid wages, as well as court costs and attorney fees. Employees have a two-year window to file claims for unpaid wages, which extends to three years if the employer is found to have willfully violated the law. The bill ensures that employees retain the right to collectively bargain for higher wages and exempts certain employees as specified under federal law. The commissioner of labor and workforce development is tasked with implementing rules consistent with federal standards.