September 2026 Newsletter

Tennessee Workplace Drug Testing: What Employers Need to Know

Drug and alcohol use in the workplace can create serious safety, productivity, and liability concerns for Tennessee employers. While Tennessee generally allows private employers to implement workplace drug-testing programs, employers should understand an important distinction: a general drug-testing policy is not the same as participation in Tennessee’s statutory Drug-Free Workplace Program. That distinction can affect an employer’s testing procedures, documentation requirements, workers’ compensation protections, and eligibility for certain benefits.

Is Drug Testing Required in Tennessee?

Generally, no. Tennessee does not require private employers to conduct drug testing as a general rule. Employers may voluntarily establish drug- and alcohol-testing policies, provided those policies comply with applicable state and federal law. Tennessee also has a voluntary Drug-Free Workplace Program administered by the Tennessee Department of Labor and Workforce Development. Employers that satisfy the program's requirements may qualify for benefits, including a workers’ compensation insurance premium credit. Employers should not, however, represent that they are participating in Tennessee's Drug-Free Workplace Program unless they are complying with its requirements.

When Can an Employer Conduct Drug Testing?

A Tennessee employer's testing policy should clearly identify when testing may occur. Depending on the employer's policy and whether the employer participates in Tennessee's statutory program, testing may include:

• Pre-employment testing following a conditional offer of employment;
• Reasonable-suspicion testing when objective facts indicate possible drug or alcohol use;
• Post-accident testing following a qualifying workplace accident or injury;
• Random testing, when permitted by the employer's policy and applicable law;
• Fitness-for-duty testing under appropriate circumstances; and
• Follow-up testing after rehabilitation or an employee assistance program.

Employers should avoid giving supervisors unlimited discretion to order drug tests. Testing should be conducted according to a written policy and applied consistently.

Reasonable Suspicion Requires More Than a "Gut Feeling"

One of the most common problems with workplace drug testing occurs when a supervisor believes an employee may be impaired but cannot identify specific facts supporting that conclusion. For employers participating in Tennessee's Drug-Free Workplace Program, reasonable suspicion must be based on specific, objective, and articulable facts and reasonable inferences.

Examples may include:

• Observable drug or alcohol use;
• Slurred speech or other physical signs of impairment;
• Significant changes in behavior;
• Erratic or unsafe conduct;
• Deteriorating job performance;
• Evidence of possession or use of drugs at work;
• A credible report of drug or alcohol use; or
• Evidence of test tampering.
  

HR Tip: Train supervisors to document what they observed rather than simply writing that an employee "appeared impaired." For example, "employee was slurring speech, stumbled twice, and had difficulty operating the forklift" is substantially more useful than "employee seemed drunk."

Don't Confuse a Screening Result With a Final Positive

Employers should use a testing provider that follows appropriate testing and confirmation procedures. Under Tennessee's statutory program, positive confirmed results are reviewed through a Medical Review Officer (MRO) process. This is important because a positive result may have a legitimate medical explanation, including the use of a prescription medication. Supervisors and HR personnel generally should not attempt to interpret laboratory results or determine whether an employee's medication explains a positive test. Instead, the employer should rely on the appropriate testing and medical-review process.

Marijuana Requires Special Attention

Marijuana remains an important compliance issue for Tennessee employers.

An employer's drug-testing policy should clearly identify the substances for which employees may be tested and should explain the employer's expectations concerning:

• Possession of prohibited substances at work;
• Use of prohibited substances at work;
• Reporting to work impaired;
• Being under the influence while working; and
• Working in a safety-sensitive position.
  

Employers should also consider whether federal requirements apply to particular employees. For example, employees subject to U.S. Department of Transportation (DOT) drug- and alcohol-testing requirements must be handled under the applicable federal testing rules. A single drug-testing policy should not automatically be applied to DOT-regulated and non-DOT employees without reviewing the applicable requirements.

What About Prescription Drugs?

Employers should be careful when drug testing intersects with an employee's prescription medication or medical information. The Americans with Disabilities Act generally permits employers to test for current illegal drug use. However, medical information obtained through employment-related processes must be handled confidentially. Employers should avoid requiring supervisors to obtain detailed information about an employee's medical condition or prescription history. A qualified Medical Review Officer can generally address whether a legitimate prescription explains a positive test result.

What Happens If an Employee Tests Positive?

The answer should be found in the employer's written policy.

A drug-testing policy might provide for:

• Termination;
• Suspension;
• A final written warning;
• A last-chance agreement;
• Referral to an employee assistance program;
• Rehabilitation; or
• Follow-up testing.
  

Tennessee's Drug-Free Workplace Program does not automatically require an employer to terminate an employee following every positive test. The most important consideration is consistency. Employers should not terminate one employee for a positive test while giving another similarly situated employee a second chance without a legitimate reason for the different treatment.

Why Participate in Tennessee's Drug-Free Workplace Program?

For some employers, participation in Tennessee's statutory program can provide meaningful benefits. Among other things, a qualifying employer may be eligible for a 5% workers' compensation insurance premium credit. The program can also provide certain workers' compensation advantages when an employee is injured and subsequently tests positive for drugs or alcohol under the program's requirements.

However, these benefits come with compliance obligations. An employer cannot simply adopt a drug-testing policy and assume it receives all of the protections available under the statutory program. Employers seeking those benefits should make sure the entire testing program—including notice, testing, laboratories, documentation, medical review, confidentiality, and employee education—complies with Tennessee's requirements.

Bottom Line for Tennessee Employers

A drug-testing policy should be more than a paragraph in the employee handbook.

Before implementing or updating a workplace drug-testing program, Tennessee employers should determine whether they are simply adopting an internal drug-testing policy or whether they intend to participate in the state's formal Drug-Free Workplace Program. Employers should then make sure their policy, testing procedures, laboratory, MRO process, supervisor training, documentation, and disciplinary practices all work together. The best time to discover a problem with a drug-testing program is before the employer needs to rely on it—not after an employee has been injured, terminated, or challenged the testing process.