TN HB2524

Creates new Class E felony of "systematic unauthorized employment" for officers, managers, or hiring agents who recklessly evade employment verification requirements, misclassify workers to avoid verification, or knowingly use subcontractors reliant on unauthorized labor

Establishes Class D felony of "aggravated systematic unauthorized employment" when violations involve 10+ knowing violations in 24 months, sub-minimum wage payments, false documents, unsafe conditions, deportation threats, or confiscating workers' identification documents

Imposes corporate fines of $50,000 to $500,000, mandatory compliance monitoring, and prohibits state contracting for 5-10 years or permanently depending on offense severity; business licenses revoked for 1-3 years or permanently

Creates civil cause of action allowing competing businesses to sue for unfair competition and recover actual damages, disgorgement of profits, treble damages for knowing violations, and attorney's fees

Effective January 1, 2027; explicitly prohibits discrimination based on national origin, race, ethnicity, or appearance in enforcement