The California EDD continues to be swamped with problems paying out benefits and answering questions: 'I can't even imagine what it's like for people who are living paycheck to paycheck.'
The Department of Labor has agreed not to make workers repay benefits they received by mistake, as long as they were not obtained by fraud.It says nearly 82% of claims filed are paid within one week of certification, and that California has paid out $180 billion in benefits in roughly the last two yearsA spokesperson for the EDD tells Eyewitness News a fraud scheme uncovered late last year led the state to suspend thousands of medical provider accounts.
Individuals impacted by the benefits suspension should have been notified by mail. But Cole said the one representative she spoke with on the phone assured her that her paperwork was all in order.Earlier this week, the state Legislative Analyst's Office released a report that focused on EDD fraud, finding that as much as $1.3 billion in EDD funds were illegally collected during the pandemic, though that number could be as low as $100 million.
Regardless, the legislative analysts found those numbers created"...a culture of allowing fear of fraud to trump all other considerations..." Cole and the thousands of others waiting for EDD checks may be entwined in that"fear of fraud" culture, stanching the flow of much needed income.
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