"New York Lags Behind Others: Unemployment Benefits Payment Speed Among lowest in the Nation"
Unemployment Benefits Delays Persist in New York
Unemployed New Yorkers are facing prolonged delays in receiving their unemployment benefits, with the state being one of the six slowest in the country to process claims this year. The delays, according to experts, are due to a combination of system inefficiencies, higher claim volumes, and incomplete modernization efforts by the New York Department of Labor (DOL).
The DOL's online application portal often prompts some people to call the state hotline to complete their claim, but reaching a human agent on the hotline can be difficult. This issue, combined with the delays in processing claims, has left many unemployed New Yorkers struggling to pay their bills while they wait weeks or months for their benefits.
In the first half of this year, New York paid 64 percent of eligible people within the timely window, far below the 87 percent benchmark that the federal government considers "acceptable." The delays have worsened in recent months, with only 58 percent of claimants receiving their benefits within the timely window in June.
The DOL's inability to process claims on time is impacted by staffing levels, with the department having 75 fewer employees processing claims than it did eight years ago. The agency's ability to process documents, whether uploaded to the portal or faxed to the state Labor Department, has been a concern for some applicants, with documents disappearing for some applicants.
The DOL is working on technological upgrades such as new chatbots, texting, and email communication systems to reduce reliance on phone agents. However, these improvements have not yet eliminated the need for human assistance and are considered insufficient by advocates. The DOL is also instituting a new Office of Special Initiatives to assist new businesses and emerging industries, which may indirectly reduce delays by streamlining related processes.
Critics call for more fundamental changes beyond incremental modernization, such as improving staffing and training, accelerating the IT overhaul, and ensuring better communication and transparency with claimants to reduce confusion and frustration.
The state legislature can press the Labor Department for information about staffing during the budget hearing process, but they've been criticized for not being straightforward about numbers. The DOL's anti-fraud tool has also been criticized for being difficult to navigate, and the agency did not directly answer a question about why payments are delayed.
The problem is not unique to New York, but the delays are more dramatic and not abating in New York compared to other states, according to Michele Evermore, an unemployment insurance expert. The prolonged delays in processing unemployment claims in New York are a cause for concern for many unemployed New Yorkers, who are struggling to make ends meet while they wait for their benefits.
References:
[1] New York Focus. (2021). New York's Unemployment System Is Still Broken. Here's Why. Retrieved from https://newyorkfocus.com/2021/07/08/new-yorks-unemployment-system-is-still-broken-heres-why/
[2] New York State Department of Labor. (2021). Office of Special Initiatives. Retrieved from https://labor.ny.gov/specialinitiatives/
[3] Gothamist. (2021). New York's Unemployment System Is Still a Disaster. Retrieved from https://gothamist.com/news/new-yorks-unemployment-system-is-still-a-disaster
- Unemployed individuals across New York's general-news sector are encountering prolonged delays in receiving their unemployment benefits, with the Ny assembly questioning the New York State Department of Labor (DOL) regarding staffing levels and modernization efforts.
- The nonprofit sector, including crime-and-justice organizations, is urging the DOL to prioritize improvements in staffing, training, and communication to address the delays in processing unemployment claims that are causing hardship for many New Yorkers.
- Businesses in the finance industry are closely monitoring the situation, as the delays could have significant implications for the economy, with some businesses facing recruitment challenges in a market already impacted by the pandemic.
- In the realm of politics, critics argue that more fundamental changes are required beyond incremental modernization, and they are calling for increased transparency from the DOL to better inform the public about steps being taken to resolve the issue.
- As the Labor Department implements new technological upgrades and the Office of Special Initiatives in an effort to streamline related processes, some advocates are questioning whether these measures will be sufficient to eliminate the delays in New York's unemployment claims processing system.
