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It is estimated that the state of California paid out more than $30 billion in fraudulent COVID related unemployment benefits. At this point these systems can b
by njarboe 4y ago
It is estimated that the state of California paid out more than $30 billion in fraudulent COVID related unemployment benefits. At this point these systems can be massively cheated when made easy (ie., no in-person application required). It has been estimated the 35% of unemployment claims are fraudulent[1]. Not just a few people unfortunately (or maybe just a few doing a huge amount of fraud, but fraud is a big problem).
[1] https://edd.ca.gov/siteassets/files/unemployment/pdf/fraud-info-sheet.pdf https://edd.ca.gov/siteassets/files/unemployment/pdf/fraud-i...
- jnovek 4y agoUnemployment is a completely different beast from all of our other social programs in the US. In a relative sense, it’s brainlessly easy to get on unemployment. Lumping all social programs together and pointing out the one with the biggest fraud issue is disengenious —- e.g. the SSA reports that our disability programs have a fraud rate of less than 1%.
- KerrAvon 4y agoThe right answer to this is to prosecute the offenders, rather than implementing a rigorous means test process and shutting out people who might actually need help. It’s less efficient, but it’s the only humane option.
- slv77 4y agoA lot of the fraud originated overseas with some of it from state sponsored groups. Prosecution is essentially impossible.
- Beldin 4y ago$30 billion? In fraud - the total benefits for this one emergency expense amounting to about $90 billion? For a state of 40 million inhabitants? Seems a tad steep.