Stop it or face penalties: US warns states over unemployment fraud
· Telemundo McAllen (KTLM)
The U.S. Department of Labor told states on Wednesday to take immediate action to combat fraud, waste, and abuse in their unemployment insurance programs, warning that administrative funds could be withheld if they do not comply. The letters, sent to governors of all states, are the latest in a series of actions by President Donald Trump's administration focused on fraud, waste, and abuse in state-administered programs that include federal funding. As with most similar announcements, the government highlighted issues in states controlled by Democrats. 'We are officially putting governors on notice,' said Acting Labor Secretary Keith Sonderling in a statement on Wednesday. 'The American people will no longer tolerate the blatant waste, fraud, and abuse of their hard-earned tax dollars; no state should allow it either. If states permit it, they will face consequences.' The Department of Labor provided few details, stating that poor oversight, outdated technology, weak identity verification, and lax controls have 'allowed unprecedented fraud to flourish.' In its announcement, it cited problems in California, Illinois, and New York, three states with Democratic-controlled governments. California Governor Gavin Newsom's office criticized the measure, pointing to 'lax regulations and the rushed distribution' of unemployment benefits by the Trump administration during the COVID-19 pandemic.
AI summary · Source: Telemundo McAllen (KTLM) →
