(The Center Square) – Tennessee took sixth place in an analysis of the state’s labor policies.

The “States That Work” report released Tuesday by the American Legislative Exchange Council ranks states based on their free market labor-friendly policies.

Tennessee was singled out as a trendsetter that inspired Georgia and Alabama to pass business-friendly laws.

The bills passed by the states banned economic development incentives from companies that conducted unionization votes with secret ballots. The companies also cannot share personal employee information with unions without obtaining consent.

“Not following these guidelines can have consequences,” the report says. “Businesses that receive state subsidies and then take unionization votes using a method other than secret ballots can be required to reimburse all “money, grants, funds, or other incentives disbursed”by the state.”

The state ranked 17th for the percentage of its workforce that participates in unions with 3.79% participating in private unions and 18.85% participating in public unions.

The government sector employs 13.3% of the state’s workforce, placing the state at ninth, according to the report. The average 10-year growth is 20.63%, which ranks the state at 12th.

“Tennessee is a Southern powerhouse for worker freedom,” said Alan Jernigan, manager of the ALEC Commerce, Insurance and Economic Development Task Force. “With universal license recognition and open pathways to opportunity, Tennessee has become a place where people come not just to live, but to thrive. More than 400,000 new residents in the past decade have voted with their feet. Tennessee is what labor reform done right looks like.”

Arizona, Georgia, Utah, Arkansas and Florida took the top five spots in the report. The states ranked last are Connecticut, New York, Oregon, Massachusetts and Alaska.

“States That Work demonstrates how states that respect worker freedom are winning the race for talent and economic growth,” said Lisa B. Nelson, CEO of ALEC. “While some are embracing reforms that empower workers and attract businesses, others are doubling down on outdated mandates that drive prosperity away. This is more than a ranking, it’s a wake-up call for lawmakers who want their state to thrive in today’s economy.”

ALEC bills itself as “America’s largest nonpartisan, voluntary membership organization of state legislators dedicated to the principles of limited government, free markets and federalism. Comprised of nearly one-quarter of the country’s state legislators and stakeholders from across the policy spectrum, ALEC members represent more than 60 million Americans and provide jobs to more than 30 million people in the United States.”