WASHINGTON, DC –The U.S. Department of Labor today announced $100 million in funding to support state efforts to combat fraud and recover improper payments in the Unemployment Insurance (UI) program, including those programs created under the Coronavirus Aid, Relief and Economic Security (CARES) Act.
At the same time, the Department’s Employment and Training Administration (ETA) issued UI Program Letter (UIPL) 28-20 , which highlights tools and strategies to assist states in strengthening their anti-fraud operations, including the availability of a new identity verification solution to confirm the identity of individuals filing for unemployment benefits.
The coronavirus has led to an unprecedented increase among state workforce agencies in the number of individuals filing claims to receive benefits in the regular UI program as well as the CARES Act UI programs, specifically the Pandemic Unemployment Assistance (PUA) and Pandemic Emergency Unemployment Compensation (PEUC) programs. As states work diligently to provide these important benefits to eligible individuals, they also face significant challenges due to increased fraudulent activity and identity theft amid new and emerging fraud schemes.
States are permitted to use this targeted funding for staff or contract services to conduct fraud investigations and other fraud detection-related activities, and to implement tools to increase prevention, detection and recovery of fraudulent improper payments in the PUA and PEUC programs.
“The Department of Labor has made preventing fraud and abuse of the unemployment insurance system a top priority,” said Secretary of Labor Eugene Scalia. “State workforce agencies are on the front lines in the fight against fraud and abuse, and the funding and resources provided by the Department today will help States protect the integrity of their unemployment insurance programs.” The Department encourages state agencies to adopt new fraud prevention and detection strategies, and utilize Unemployment Insurance Integrity Center resources to enhance current fraud prevention operations. The Center’s Integrity Data Hub is a secure data cross-matching system, containing an array of effective fraud prevention and detection tools. The Hub’s new identity verification solution is now fully operational and available to all states.
“The Department of Labor is encouraged by the reports from states on the very positive results with the identity verification solution,” said Assistant Secretary for Employment and Training John Pallasch. “The Department remains focused on ensuring states have access to effective tools and strategies to combat fraud and identity theft, protect taxpayer dollars, and provide benefits to those who are eligible.” The Department encourages states to use these funds to enhance their PUA and PEUC fraud prevention efforts and to work with the Employment and Training Administration and the Unemployment Insurance Integrity Center to use these resources to address fraud aggressively in these programs.
PUA and PEUC funding by state State PUA PEUC Alabama $1,499,400 $285,600 Alaska $1,020,600 $194,400 Arizona $2,041,200 $388,800 Arkansas $1,499,400 $285,600 California $2,041,200 $388,800 Colorado $2,041,200 $388,800 Connecticut $1,499,400 $285,600 Delaware $1,020,600 $194,400 District of Columbia $1,020,600 $194,400 Florida $2,041,200 $388,800 Georgia $2,041,200 $388,800 Hawaii $1,020,600 $194,400 Idaho $1,020,600 $194,400 Illinois $2,041,200 $388,800 Indiana $2,041,200 $388,800 Iowa $1,499,400 $285,600 Kansas $1,499,400 $285,600 Kentucky $1,499,400 $285,600 Louisiana $1,499,400 $285,600 Maine $1,020,600 $194,400 Maryland $2,041,200 $388,800 Massachusetts $2,041,200 $388,800 Michigan $2,041,200 $388,800 Minnesota $2,041,200 $388,800 Mississippi $1,499,400 $285,600 Missouri $2,041,200 $388,800 Montana $1,020,600 $194,400 Nebraska $1,020,600 $194,400 Nevada $1,499,400 $285,600 New Hampshire $1,020,600 $194,400 New Jersey $2,041,200 $388,800 New Mexico $1,020,600 $194,400 New York $2,041,200 $388,800 North Carolina $2,041,200 $388,800 North Dakota $1,020,600 $194,400 Ohio $2,041,200 $388,800 Oklahoma $1,499,400 $285,600 Oregon $1,499,400 $285,600 Pennsylvania $2,041,200 $388,800 Puerto Rico $1,020,600 $194,400 Rhode Island $1,020,600 $194,400 South Carolina $2,041,200 $388,800 South Dakota $1,020,600 $194,400 Tennessee $2,041,200 $388,800 Texas $2,041,200 $388,800 Utah $1,499,400 $285,600 Vermont $1,020,600 $194,400 Virgin Islands $1,020,600 $194,400 Virginia $2,041,200 $388,800 Washington $2,041,200 $388,800 West Virginia $1,020,600 $194,400 Wisconsin $2,041,200 $388,800 Wyoming $1,020,600 $194,400 American Samoa $100,000 N/A Northern Mariana Islands $210,000 N/A Federated States of Micronesia $100,000 N/A Guam $210,000 N/A Palau $100,000 N/A Republic of Marshall Islands $100,000 N/A The mission of the Department of Labor is to foster, promote and develop the welfare of the wage earners, job seekers and retirees of the United States; improve working conditions; advance opportunities for profitable employment; and assure work-related benefits and rights.
