Louisiana improperly paid $2.9 million in unemployment benefits


A new audit finds that the Louisiana Workforce Commission has improperly paid out about $2.9 million during the COVID-19 pandemic. The mistakes made include persons illegally receiving state and federal jobless benefits, and payments in excess of the weekly benefits limit.The Louisiana Legislative Auditor examined the state’s unemployment insurance program from March 2020 through April of this year. As of this past Aug. 27, the Louisiana Workforce Commission had not established overpayment cases to track down the improper payments, according to the auditor’s report that was made public Monday.The largest portion of improper payments was the result of exceeding the weekly limits available to claimants. The auditor found more than $1.97 million in extra benefits were disbursed improperly in this fashion. By law, unemployment claimants can only receive benefits from either the state or federal government. The audit found $898,400 was paid to persons illegally enrolled in multiple unemployment benefits programs.Another $33,536 in payments to claimants who received duplicate benefits in the same week was revealed in the audit. The Legislative Auditor recommended the workforce commission establish controls to avoid the overpayment issues and recoup benefits as appropriate. In her written response to the auditor, LWC Secretary Ava Cates said the issues with new benefits programs created during the pandemic “are not unique to the state of Louisiana.” She said guidance on administering them from the U.S. Department of Labor has changed constantly, and the problems noted in the audit “are the result of a once-in-a-century benefit program…””Overpayments are a normal occurrence, even under typical (unemployment insurance) operating circumstances,” Cates said in her response. “When coupled with the rapid implementation of multiple new programs without the extensive test controls in place to ensure accuracy and efficiency, the reality is mistakes are inevitable.”Cates also noted her agency has paid nearly $10 billion in unemployment benefits since the start of the pandemic. The LWC will “work earnestly” to correct issues that resulted in the $2.9 million in overpayments, she added.

A new audit finds that the Louisiana Workforce Commission has improperly paid out about $2.9 million during the COVID-19 pandemic. The mistakes made include persons illegally receiving state and federal jobless benefits, and payments in excess of the weekly benefits limit.

The Louisiana Legislative Auditor examined the state’s unemployment insurance program from March 2020 through April of this year. As of this past Aug. 27, the Louisiana Workforce Commission had not established overpayment cases to track down the improper payments, according to the auditor’s report that was made public Monday.

The largest portion of improper payments was the result of exceeding the weekly limits available to claimants. The auditor found more than $1.97 million in extra benefits were disbursed improperly in this fashion.

By law, unemployment claimants can only receive benefits from either the state or federal government. The audit found $898,400 was paid to persons illegally enrolled in multiple unemployment benefits programs.

Another $33,536 in payments to claimants who received duplicate benefits in the same week was revealed in the audit.

The Legislative Auditor recommended the workforce commission establish controls to avoid the overpayment issues and recoup benefits as appropriate.

In her written response to the auditor, LWC Secretary Ava Cates said the issues with new benefits programs created during the pandemic “are not unique to the state of Louisiana.” She said guidance on administering them from the U.S. Department of Labor has changed constantly, and the problems noted in the audit “are the result of a once-in-a-century benefit program…”

“Overpayments are a normal occurrence, even under typical (unemployment insurance) operating circumstances,” Cates said in her response. “When coupled with the rapid implementation of multiple new programs without the extensive test controls in place to ensure accuracy and efficiency, the reality is mistakes are inevitable.”

Cates also noted her agency has paid nearly $10 billion in unemployment benefits since the start of the pandemic. The LWC will “work earnestly” to correct issues that resulted in the $2.9 million in overpayments, she added.



Read More:Louisiana improperly paid $2.9 million in unemployment benefits

2021-11-15 23:22:00

benefitsCoronavirusCOVID-19improperlyLouisianaMillionpaidpandemicunemployment
Comments (0)
Add Comment