More Fraudulent Unemployment Claims Hit Employers » CBIA - CBIA
Employers continue to report fraudulent unemployment claims, weeks after issues first surfaced following the launch of a new Connecticut Department of Labor website.
Numerous reports of fraud first surfaced last month, just weeks after DOL launched the ReEmployCT website as part of a $60 million modernization project to replace the agency’s 40-year-old technology systems.
In late July, third-party unemployment compensation service provider Unemployment Tax Management Corporation said more than 50% of claims it received on behalf of clients through ReEmployCT were fraudulent.
The Hartford Courant reported Aug. 25 that employers continue to receive false information about employed workers filing for unemployment benefits.
CBIA has also received a half dozen fraud reports from businesses in the last 10 days.
‘Total Chaos’
“I’ve received four fraudulent claims this month with the latest being for me!” one business owner said.
In a post on CBIA’s website, another employer wrote that “it is impossible to get through [to DOL] as an employer to respond to the claim.”
“I’ve spent two-plus hours on this already,” she wrote. “Total chaos. And I echo the others in my concerns over data security.”
David Durkee, co-owner of Salem consulting firm Radcor LLC, told the Courant he could not reach DOL by telephone after receiving a notice that he had filed for unemployment benefits.
“The software system is kicking out notices or the system is breached,” he said.
Employees also shared their...
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