Labor commissioner says Tennessee unemployment trust fund is healthy at roughly $1.54 billion

Commissioner Denise Thomas told the Senate Government Operations Committee on Feb. 14 that the Department of Labor and Workforce Development’s Aug. 25, 2025 sunset audit produced no findings or observations and highlighted improvements in benefit timeliness and inspection programs.

During questioning, CFO Andy Summer provided the committee a fund-balance figure as transcribed in the record: "The unemployment trust fund right now reads $1,540,000,000 $586,775. I don't know about the cents." Committee discussion treated that as roughly $1.54 billion. Summer said the state’s annual benefit expense is about $200–210 million and that the margin of revenues over expenses this year was approximately $100 million, indicating a growing fund balance.

Senators noted that a healthy trust fund can be an economic development selling point and discussed possible uses of that fact in recruitment conversations with businesses. Commissioner Thomas and staff said modernization efforts and operational work contributed to improved performance metrics, including meeting first-payment timeliness for benefits consecutively for 17 months prior to February.

What’s next

The committee advanced SB 15-18. The record includes the fund figure as provided by the CFO; staff or reporters seeking precision should confirm the exact ledger balance with the Department of Labor and Workforce Development.