California is asking some 1.4 million unemployment recipients to prove their eligibility months after receiving aid as part of a fraud recovery campaign. But some people say they’re caught in the Employment Development Department’s dragnet because they don’t have the documents to be cleared. Now, some risk having to pay back more than $30,000—or face collection.
“It hasn’t gone down significantly for a couple of months, even as we have created these jobs,” said Michael Bernick, an attorney with the Duane Morris law firm
The state announced Thursday it would keep paying people unemployment benefits even while their eligibility is being investigated in many cases.
Experts said the state’s falling unemployment rate is mostly because so many people have stopped looking for work.
Statewide, the unemployment rate improved to 9.3% in October from 11.1% in September.
The state’s unemployment rate increased 10.2 percentage points since March, the largest one month rise since 1976, when the state began using its current formula to measure job losses.
More than 878,000 Californians filed for unemployment last week, a massive increase from the previous week.
The surge in weekly applications was a stunning reflection of the damage the viral outbreak is inflicting on the economy. Filings for unemployment aid generally reflect the pace of layoffs.
The unemployment rate in Long Beach declined in May to a new all-time low of 4.4 percent, compared to 4.7 percent reported in March, city officials announced today.