On March 22, during the confirmation hearing before the Senate Health, Education, Labor and Pensions Committee, R. Alexandar Acosta, labor secretary nominee, testified he would take an evidence-based approach to cuts rather than the across-the-board cuts in the President’s budget proposal. Acosta said, “The principle that needs to be used to guide the spending is, ‘How successful is the program?’”
“If confirmed as secretary of labor, one of the things that I want to do is go through these programs that compiled the data, because for a lot of these programs I believe the rate of return on investment in taxpayer dollars is quite significant, and would pay for itself very readily from the jobs they’ve created,” continued Acosta. Continue reading
A Connecticut man was not legally authorized to work in the United States has been arrested and charged with using another person’s social security number to claim unemployment benefits. He is alleged to have used the stolen social security number to make almost $9,000 in fraudulent UI claims.
The Colorado Department of Labor and Employment has charged a 52-year man with collecting unemployment insurance while working. The agency alleges he made $14,000 in fraudulent unemployment claims while working for three separate companies. The agency opened an investigation when the federal New Hire report listed the man as newly employed. Continue reading
A Florida mail carrier has been convicted in a federal court for running an unemployment fraud scam. According to the indictment, the mail carrier gave 50 to 60 addresses of people on his route to his cronies who in return used the stolen identity information to file $90,000 in fake unemployment claims with the Florida Department of Economic Opportunity. Continue reading
The article “The Government is missing the SaaS opportunity,” by John Paterson, Founder of Really Simple Systems, sounds a wakeup call to government agencies wanting to deploy SaaS solutions. Continue reading
The budget proposal would cut the Labor Department’s budget from current levels to $9.6 billion for FY 2018, a 21% decrease. Despite the budget cuts, the proposal would expand the Reemployment Eligibility Assessment program and UI program integrity efforts. Continue reading
In 2010, the United States Department of Labor (USDOL) identified the misclassification of employees as independent contractors as a serious problem. Most recently, USDOL’s Wage and Hour Division along with the Internal Revenue Service have worked with state agencies to investigate misclassification. These investigations resulted in $74 million in back wages for more than 102,000 workers.
On Point Technology commends USDOL for its continued efforts to combat employer misclassification. However, more needs to be done and On Point Technology’s has a solution — the Misclassified Worker FraudX™ solution. Built upon the OPTimum framework, the solution enhances State Agencies’ ability to detect and prevent both intentional and unintentional UI tax avoidance stemming from the misclassification of employees as independent contractors. Continue reading
The U.S. General Accounting Office found that states are facing multiple challenges in modernizing their systems, while at the same time recognizing states’ significant dependency on and the criticality of UI applications. With so much riding on these systems, it is crucial that states demand applications that meet modern standards for Enterprise systems as well as providing long term value for customers and stakeholders. Continue reading
After pleading guilty in November, two identity thieves in Washington state have been sentenced to four years in federal prison. Before being arrested last August, the pair was living the high life for four years stealing the identities of friends, relatives, and former employees of a credit union.The two were arrested last August for using stolen identities to steal $50,000 in unemployment benefits and defrauding credit unions of more than $300,000. Continue reading
Will you be ready for the next recession? Over the years since inception, much has been said but little done regarding the need to reform Unemployment Insurance (UI) to allow it to remain relevant to the current economic, social and political environments. Continue reading
It seems as though UI Fraud schemes have a kind of circular life cycle. They appear, go away for a while and then pop up again. The scam of using invalid Social Security Numbers is illustrative of this pattern. We haven’t seen many examples of this scam in recent time, but a case has come up in Connecticut. Continue reading
The Arizona Department of Economic Security has reported that during the months of April, May and June this year 43 individuals were convicted of defrauding the Unemployment Insurance program. The convictions resulted in restitution orders totaling $232,000 and over $9000 in fines. These results are directly related to strong efforts to detect, investigate and prosecute fraud and other crimes by Unemployment Insurance claimants. Continue reading
Usually fraud occurs when someone has a job and continues to collect UI illegally. How about a case where someone collecting UI pretends to have a job in order to secure other government sponsored benefits! Continue reading
Combining the hard working investigative resources of the Texas Workforce Commission (TWC) and the powerful and advanced capability of Aware to achieve well deserved praise and recognition.
Congratulations to the TWC, as their Improve Fraud Discovery project has received the 2016 Best of Texas award for Best Data Analytics/Business Intelligence Project.The Center for Digital Government, in announcing the award, wrote:
“The Texas Workforce Commission (TWC) and their contractor developed a business intelligence capability to uncover the clues and patterns of Unemployment Insurance (UI) fraud. TWC investigators additionally developed their own set of queries, taking the supplied analytics to a more detailed level. TWC estimates that the new tool has reduced the time required to detect, research and document suspicious Ul activity by 50 percent – without requiring direct support from IT. Continue reading
On Point Technology (OPT) has developed the New Hire FraudX to eliminate non-productive work for Agency Staff.
The Massachusetts Division of Unemployment Assistance is the first agency in the country using this newly released tool. This new tool combines OPT’s subject matter expertise in the UI industry and the advanced data analytic capability of Aware Enterprise.
On Point Technology’s New Hire Crossmatch FraudX™ solution allows state agencies to utilize SDNH and NDNH to their fullest capacity – essential at all times, but especially now with severely strained State Unemployment Insurance Agency budgets reducing staffing levels. This application reduces the case load for agents by filtering out hits without overpayments. It also identifies duplicate issues before an employer is sent an unnecessary earning request letter, or an investigator spends time on working a non-productive overpayment. Continue reading