Fringe benefits are those benefits that are determined by the employer. These include paid-time-off (PTO), vacation or sick pay, holiday pay, severance pay and health insurance. Unless the employer's policy or manual specifically provides for the payment of fringe benefits or requires compensation of unused fringe benefits to an employee upon his or her separation of employment, Tennessee Law does not require that an employee's wages or final wages include such compensation.
Tennessee Department of Labor and Workforce Development/Workplace Regulations and Compliance/Wage and Break Complaints