Stopping Unemployment Payments During Appeals to Combat Fraud
This Act aims to reduce fraud in the unemployment insurance system by changing payment rules. The key change affects current recipients who are deemed ineligible by the state: if they appeal the decision, benefit payments will be immediately withheld until the appeal is resolved and eligibility is confirmed. If the appeal is successful, the withheld funds must be paid within 5 business days.
Key points
Payment Suspension: If a state determines you are no longer eligible for unemployment benefits, payments will stop immediately, even if you file an appeal.
Fraud Prevention Guidance: The Department of Labor must issue new, standardized guidelines for states on best practices for identifying and denying fraudulent claims.
Quick Payment After Win: If your appeal is successful, all withheld benefits must be paid to you within 5 business days.
Status:
Expired
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