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ETA News Release: [09/29/2006]
Contact Name: David James or Mike Volpe
Phone Number: (202) 693-4676 or x3984
Release Number: 06-1713-NAT

U.S. Department of Labor Providing $9.6 Million in Grants to State Unemployment Compensation Systems

Funds Will Help Jobless Workers Find Employment Faster, Prevent Improper Payments

WASHINGTON — U.S. Secretary of Labor Elaine L. Chao today announced grants totaling $9,557,116 to strengthen state unemployment compensation systems.

"These nearly $10 million in grants will help ensure that unemployment insurance is reserved for those who need it most — workers between jobs and the families they support," said Secretary Chao. "Funds will also be used to better connect those who have lost a job to re-employment services."

The grants will support a variety of projects to prevent, detect and recover improper benefit payments including: using the National Directory of New Hires to block individuals from claiming benefits after their return to work; using automated systems to detect and recover improper payments; and matching claims data with other government databases to detect fraud.

Additionally, the grants will fund projects to promote quick re-employment through enhanced use of automated systems to assess beneficiaries' needs and connect them to re-employment services.

"With these grants, the Department of Labor continues to safeguard the integrity and improve the efficiency of state unemployment insurance systems so that workers who find themselves without work can access this resource when they need it most," said Assistant Secretary of Labor for Employment and Training Emily Stover DeRocco.

For information on unemployment insurance, visit: www.dol.gov/dol/topic/unemployment-insurance/index.htm. For more information on the Department of Labor's employment and training programs, visit www.doleta.gov.

Grants to State Unemployment Compensation Systems
U.S. Department of Labor
Employment and Training Administration