Potentially Fraudulent Unemployment Insurance Claims Causing Delays

Form 1099g For Unemployment Benefits With W2, Cash
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NEW ORLEANS — The Louisiana Workforce Commission said it has witnessed a drastic increase in unemployment insurance claims. Records show more than 32,000 claims were filed, many that are being rigorously reviewed for validity. To date, the LWC said it has stopped more than 160,000 claims that are potentially fraudulent/identity theft.

The City of New Orleans said it is paying close attention to this information in addition to working with state partners to ensure residents are aware of the changes being made due to these incidents.

“As we see shifts in our economy due to the pandemic, more of our workers are turning to unemployment assistance for help. With an increase in these claims, there are unfortunately bad actors trying to take advantage of the system, which disproportionately impacts our people who are very much in need,” said Sunae Villavaso, director of the Mayor’s Office of Workforce Development. “The city is working diligently with state partners to ensure these incidents are managed, and that our people experience as little delays as possible to get the resources they need.”

The LWC said it has implemented new security measures to prevent future fraud. As a security measure going forward, claimants will be required to upload identity verification documents. In addition, some individuals may be requested to upload identification again, even if they previously uploaded this information.

For additional information on Unemployment Insurance visit the LWC website here.


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