California’s backlog of unemployment claims has soared well past 900,000 and has reached its highest level in about three months, the state Employment Development Department reported.
The EDD also acknowledged it is still seeking to validate the identities of 1.2 California workers whose claims for unemployment benefits were linked to possible fraud — a staggering 86% of the 1.4 million workers whose accounts were originally suspended due to fraud concerns.
The dismal revelations arrive amid a surge in coronavirus-linked business shutdowns and hint that California workers who have lost their jobs might have to endure a bitter winter and spring.
On the EDD fraud front, the remaining 200,000 workers of the original 1.4 million workers whose accounts were flagged for fraud are being directed to fill out a questionnaire to determine their eligibility or are being told that their claims were disqualified.
It wasn’t immediately clear what progress the EDD has made, precisely, to determine if the 1.4 million claims are, in fact, fraudulent or legitimate.
This news organization has asked the EDD several times in recent weeks to shed further light on the swelling backlog and issues related to the 1.4 million fraudulent accounts. The state agency did not respond to recent requests for a comment regarding the situation.
As of Jan. 20, the total number of unemployment claims trapped in the EDD backlog was about 941,020, an increase of 130,270 from the backlog of 810,750 as of Jan. 13, according to information the EDD posted on its jobless claims dashboard.
The most recent backlog amount was the highest number since Oct. 28, when the EDD claims backlog totaled 946,100.
The backlog consists of two categories:
— 916,530 initial unemployment claims. These consist of workers who filed a first-time unemployment claim but have been waiting more than 21 days to receive their first payment or be told they don’t qualify for any benefits.
— 24,490 continuing claims. These consist of workers who received at least one payment but have been waiting more than 21 days to receive an additional payment or notification from the EDD that they don’t qualify for further payments.
On Jan. 20 compared with Jan. 13, the total backlog of claims increased 16%, the initial claims backlog jumped 17%, and the continuing claims backlog rose 1%, this news organization’s analysis of the EDD dashboards determined.
Unemployed workers have continued to complain of a glitchy website and an unresponsive call center. Those complaints have continued despite the EDD adding hundreds of workers and new technology designed to automate and streamline the claims process.
Another sign has emerged to suggest that the EDD might be struggling to make progress on determining if a questionable claim is in fact linked to fraud or is actually legitimate.
The embattled state agency is taking steps to ease the time pressure for workers to navigate the EDD’s bureaucratic maze for identity verification and claims validation.
“EDD has extended the window from 10 to 30 days for claimants to verify their identity with ID.me,” the EDD said in a prepared release. In October 2020, the EDD instituted a new identity verification technology called ID.me.
After the 30 days, the EDD will likely force the worker to restart their claim from scratch.
“This extension will provide claimants ample opportunity to validate their identities before an EDD notice of disqualification is issued,” the EDD said. “As claimants have their identity verified, EDD is removing barriers on claims so payments can continue for legitimate claimants within a matter of days.”
