Tennessee Labor & Hiring
Construction carries the strictest workers'-compensation rule in Tennessee, and every new hire triggers federal paperwork. This chapter covers the coverage threshold and the I-9 and W-4 forms.
Workers' compensation in construction
Tennessee's construction industry is the strict case: an employer providing construction services must carry workers' compensation coverage even with a single employee (T.C.A. §50-6-902). Most non-construction Tennessee employers are not required to carry coverage until they have five or more employees, and working uninsured in construction carries significant penalties.
Forms I-9 and W-4
Form I-9 verifies a new hire's identity and authorization to work in the United States and is retained rather than filed. Form W-4 tells the employer how much federal income tax to withhold. Because Tennessee has no state income tax, there is no state withholding form to complete.