DOL Provides Tools to Help States Fight UI Fraud

Posted on Wed, Mar 21, 2012

The U.S. Department of Labor (DOL) announced that the Fraud Tips and Leads Gateway is now available to support state agencies in “detecting, preventing, and recovering improper unemployment insurance payments as well as combating UI fraud.”

The online portal provides state-by-state resources for reporting fraud. It also identifies strategies that DOL uses to help states address improper UI payments.

“Too many people don’t know their responsibilities under the programs, and too many businesses don’t know what’s at stake for them especially the tax implications,” said Secretary of Labor Hilda L. Solis.

According to the DOL, improper UI benefit payments are most likely to occur when:

  • Recipients continue to claim benefits after returning to work;
  • Employers or their third party administrators do not submit timely or accurate separation
    information; and
  • Claimants fail to register with the state’s Employment Services (ES) as dictated by state law. In California, this is the Employment Development Department (EDD).

 

Author: Gail Cecchettini Whaley

HR Watchdog, HRCalifornia’s Employment Law Blog, © California Chamber of Commerce

Tags: state agencies, UI, UI fraud, unemployment insurance fraud, us department of labor, US Dept of Labor