California suspends 1.4 million virus unemployment claims

The state Employment Development Department on Wednesday said it had examined existing claims from people who said they lost their jobs during the COVID-19 pandemic and found about 3.5 million claims were “potentially fraudulent.”

California may have paid out-of-state inmates job benefits

More than $40 million in California funding intended to help people left jobless by the coronavirus pandemic probably went to inmates in out-of-state jails and prisons, officials said.

California EDD suspending unemployment checks it considers high risk

During the pandemic, the EDD has been hit by massive fraud, including $400 million in jobless benefits, paid to jail and prison inmates.

2020 was a devastating year for working Americans

Well over 1.1 million new unemployment claims just last week, down only slightly from the previous week but well over any other we experienced in the Great Recession. 

Newsom appoints new director to Employment Development Department

The department also has been criticized for granting payouts on hundreds of thousands of fraudulent claims, including some in the name of U.S. Sen. Dianne Feinstein. The state has acknowledged that it has paid about $400 million in the names of prison inmates.

California EDD whistleblower blames management for unemployment fraud

An employee with the California Employment Development Department said thousands of fraudulent unemployment claims are being processed because of lax management, little oversight and an inability to properly flag suspicious claims.

Ex-California EDD worker filed fraudulent claims under Dianne Feinstein's name: feds

“Think about this for a minute: EDD issues a debit card to Senator Dianne Feinstein! How does that happen?” Jim Patterson, a Republican in the state Assembly, said Thursday. “I’ll tell you how, EDD is complicit in the fraud by mailing out Social Security numbers to scammers; or they are utterly incompetent by not even checking eligibility before they issue the debit card. Either way, EDD has aided and abetted the fraud.”

Pandemic pushes the formerly employed into poverty, with scant support

1.6 million Californians will lose their unemployment benefits the day after Christmas. With rent due and a stimulus still up in the air, many Californians are falling into poverty with a weak job market and insufficient aid. 

Lawmakers say California jobless claims still a 'black hole'

Republican Assemblyman Jim Patterson, the committee’s vice chairman and a frequent critic of Gov. Gavin Newsom’s Democratic administration, cited complaints from two whistleblower employees of the Employment Development Department as well as customers who contacted his office in saying the new ID.me verification system “is failing substantially.”

Unemployed Americans losing benefits on Dec. 26 face bleak holiday season

Unemployed people interviewed by KTVU expressed disappointment with the lack of enduring economic support during a pandemic, and lamented the loss of a comfortable and joyous holiday season. 

California paid $400 million in jobless benefits to inmates

California sent about $400 million in fraudulent unemployment benefit payments to state prisoners, a state official said Tuesday, nearly triple the amount disclosed last week and a number that could grow as a criminal investigation continues.

Absent new stimulus, wealthy pay off credit cards, while others dive deeper into debt

Credit cards reveal yet another example of the “K-shaped recovery” wherein high earners are recuperating, or even increasing their wealth during the economic downturn, and lower income earners are flailing.

Death Row inmates part of California's 'massive' unemployment fraud; totals could top $1B

Authorities said between March and August, 35,000 inmates filed unemployment claims through the state's Employment Development Department. Of that 20,000 claims were paid out totaling more than $140 million. 

EDD needs months and years to better protect Social Security numbers

California's EDD said it will take months and in some cases years to change the way it shares people's Social Security numbers.

California auditor: EDD sent out forms exposing 38M Social Security numbers

The recent surge in unemployment claims as people are out of work during coronavirus, the state auditor said, "has further revealed the dangers of EDD's practices." 

California EDD claims backlog shrinks 48% since late-September peak

The latest published information from the EDD's online backlog dashboard this morning is that as of Nov 4th, in round numbers, there are some 890,000 claims still waiting.

California unemployment chief to retire amid claims backlog

Sharon Hilliard says she will end her 37-year career at the Employment Development Department on Dec. 31.