California: Highest Unemployment Fraud and Unemployment Rate

Contact Your Elected Officials

The California Employment Development Department (EDD) recently reported that its best estimate of fraudulent unemployment payments totals at least $20 billion. That makes it easily the largest fraud in U.S. history and is more than the entire state budget of about half of U.S. states. None of the money has been reported as recovered.

As the investigation continues, California sits with the highest unemployment rate in the country at 7.5 percent. Might the two be related?

From the outset of the pandemic, it was obvious there was a big risk of EDD fraud. It has historically been a problem, just like fraud in other government programs like Medicare. The government has always been an easy mark.

Second, for the first time, benefits were handed out to independent contractors, like Uber drivers, rather than just employees. The state maintains good records of prior employment; it does not regarding contract work.

Third, for the first time the federal government got involved in unemployment, adding $600 per week to state benefits which normally total only about $300 per week. This increased temptation, with $900 per week now at state, the equivalent of full-time employment at $22.50 per hour.

Finally, the EDD maintained no requirement that recipients show proof that they were searching for work.

As a result, California has paid out at least $179 billion in unemployment benefits since the start of the pandemic, processing over 25.8 million claims. More claims were handled than the total pre-pandemic workforce of about 19.5 million. About 2 million jobs were lost due to the pandemic, meaning the state has paid out about $89,000 per lost job.

The fraud, therefore, should have been obvious, yet it went on for months. Recent investigations have revealed that there were employees within the department involved in the fraud. In one case, $2 million in benefits were sent to a single address. Another $1 billion was sent out in the name of about 20,000 current prison inmates. Fraudulent benefits even went out under the social security number of U.S. Senator Dianne Feinstein.

The Thinking Conservative
The Thinking Conservativehttps://www.thethinkingconservative.com/
The goal of THE THINKING CONSERVATIVE is to help us educate ourselves on conservative topics of importance to our freedom and our pursuit of happiness. We do this by sharing conservative opinions on all kinds of subjects, from all types of people, and all kinds of media, in a way that will challenge our perceptions and help us to make educated choices.

Are conservatives fighting a fiction of woke?

Wokery, it hurts to say it, is too disorganized to have an organized cosmology or doctrine of metaphysical belief.

Illinois Democrat Offenders Reveal Party

The crime of J.B Pritzker and Brandon Johnson in this episode of American history is called subversion at the least , but could be as serious as treason.

Inside the Public School Librarian Jihad to Keep Transgender Propaganda on Shelves

Public school librarians are doing all they can to keep child tranny propaganda flowing directly into the malleable minds of their charges.

Five Reasons Why The Latest Czech Elections Were So Important

Populist-nationalist politician Andrej Babis is poised to return to the premiership after his party's victory. Here are 5 reasons why this is so important.

Bad Bunny is the NFL’s Latest Insult

After years of advocating social justice causes, the NFL chose left wing, gender fluid rapper Bad Bunny to headline the next Super Bowl. Does the NFL want conservatives fans?

29-Year-Old Florida Man Arrested Over Palisades Fire

A 29-year-old Melbourne, Florida man was arrested for allegedly starting the Palisades wildfire that burned for weeks and killed 12 people.

FBI, LAPD Raid Mexican Mafia-Linked Gang in Southern California

FBI and LAPD raided a Mexican Mafia-linked gang in Southern CA, arresting a dozen individuals in connection to the Rancho San Pedro organization.

James Comey Pleads Not Guilty to 2 Federal Charges

Former FBI Dir. James Comey pleaded not guilty in federal court on Oct. 8 to charges of making a false statement and obstructing a congressional proceeding.

Judge Upholds Nassau County Ban on Transgender Athletes in Women’s Sports

A New York judge on Oct. 6 upheld a Long Island county law banning male athletes from participating in women’s sports at county-run facilities.

Trump Says He May Invoke Insurrection Act in Portland If Necessary

President Donald Trump on Oct. 6 said he may consider invoking the Insurrection Act in Portland, Oregon, if necessary.

Trump: All Medium, Heavy Duty Trucks Entering US Will See 25 Percent Tariff on Nov. 1

President Trump announced on Monday that all medium and heavy-duty trucks entering the United States will see a 25 percent tariff starting on Nov. 1.

Treasury Names Social Security Commissioner as CEO of IRS

Treasury Sec. Scott Bessent announced that Frank Bisignano, the head of the Social Security Administration (SSA), will also serve as CEO of the IRS.

Agencies Terminated, Descoped 94 Wasteful Contracts With $8.5 Billion Ceiling Value, Says DOGE

Various federal government agencies have terminated and descoped 94 wasteful contracts over the past five days, DOGE said in an Oct. 4 post on X.
spot_img

Related Articles

Popular Categories

MAGA Business Central