Unemployed California workers could start getting money much faster. Here’s why
Unemployment payments are about to come more quickly to a lot of Californians.
Because of the overwhelming workload at the state’s Employment Development Department, it can take weeks to determine eligibility.
Under a new policy unveiled Thursday, fast payments will be going to people who certified for benefits and have already received at least a week of payments in the past but now find their benefit payments pending for at least two weeks.
People are placed in pending status for many reasons. Among them: A claimant’s answer to a biweekly certification question that triggered the need for an eligibility interview.
Those eligible for the pay-now program will start getting notices from EDD this week.
The benefit payments will pop up in claimant accounts beginning Friday and continue the following weeks.
Claimants must continue to certify that they are eligible for benefits as long as they remain unemployed or working reduced hours. .
They will still have to eventually be found eligible for the benefits, and EDD will send notices to these claimants to explain this requirement. Claimants should still participate in any eligibility interview and answer any questions from the department regarding eligibility.
This new policy raises a question of whether these people could be subject to overpayments if it turns out they don’t meet the eligibility requirements when EDD completes its review on the eligibility issue on the claim. The maximum benefit in the state is $750 weekly.
EDD said Thursday that an overpayment can be waived if someone “demonstrates a financial hardship and the overpayment was not the claimant’s fault or due to fraud.”
If someone is unsure they will eventually qualify, they can’t opt out of this new pay-now program. But they can simply stop certifying for benefits.
Since July 11, most claimants have had to show EDD they’re seeking work in order to qualify for benefits. The department has begun mailing individual notices to people in phases in July telling them the specific, individual work search requirements that apply to their claim.
People collecting regular unemployment insurance or an extension claim are getting the first notices. Mailing will be sent starting next week to people getting Pandemic Unemployment Assistance and Federal-State Extended Duration benefits.
Since the Covid pandemic triggered an economic recession in March 2020, 23.2 million claims have been filed in California and $1.58 billion in benefits have been paid. The claims backlog of people waiting at least three weeks to have their eligibility determined stood at 226,090 at the end of last week.
This story was originally published July 22, 2021 at 4:13 PM.
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