Unemployment Fraud

10/22/2020 8:44:32 PM

Unexpected notification of benefits 

Throughout the pandemic, relief and stimulus funds have been vital to sustaining the business and individual sectors of our society.  Unfortunately, this has also created a breeding ground for new fraud.  This is especially coming to light currently in the area of unemployment fraud.  We’ve heard from several of you, as business owner-employers, with similar stories.  You’ve been unexpectedly approved for unemployment benefits!  Except…you didn’t apply for those benefits.  Some of you have even received unemployment checks out of the blue.  Your practices are up and running and generally thriving, so we’re past the time to apply for unemployment benefits.  This could be an error on the part of the State Unemployment Tax Associations.  But it is equally likely that someone has applied fraudulently under your information.

How to respond

There is no great answer to remedy the situation. As you can imagine, the SUTA offices are overwhelmed with claims.  They have not been able to devote much time to educate us on the protocol for the situation. But here are our best recommendations:

  • Respond to any questionnaires from your SUTA office, as requested, indicating that you are not unemployed.
  • Do not cash any unemployment checks received in error.
  • Retain copies of all correspondence and checks for future support for your SUTA office, if needed.
  • Report the possible fraud to your SUTA office.  For more information on unemployment fraud in Texas click here.  For a direct link to the fraud reporting page in Texas, click link.