Monday, July 9, 2012

Report: Gov’t Overpaid $14B in Unemployment Benefits

You read that correctly: the feds and state governments overpaid approximately $14 billion in unemployment benefits last year, according to the U.S. Labor Department and CNN Money.
“Now, the U.S. Department of Labor and the states are in the midst of a massive effort to try to recoup some of their lost funds and avoid future overpayments,” writes Annalyn Censky for CNN Money.
So, um, where did all that cash go and how do the feds and state governments plan on getting it back? Let’s start with the first question.

Overpaid funds usually “end up in the hands of three types of people: Those who aren’t actively searching for a job, those who were fired or quit voluntarily, and those who continue to file claims even though they’ve returned to work,” Censky reports, adding that overpayments “typically [result] from an administrative error made either by the government, the employer, the worker or a combination of the three.”
But let’s not rule out the obvious: fraud.

Read More:

No comments:


Related Posts Plugin for WordPress, Blogger...