Nearly a year after Illinois lawmakers requested a comprehensive audit of state unemployment fraud during the COVID-19 pandemic, IDES, the state agency in charge of issuing assistance, remains unable to tabulate how much money was lost to scammers.
Nearly a year and a half after IDES closed job centers statewide, the unemployment agency began reopening offices for in-person assistance. So far 13 offices have reopened, with only one in Chicago.
Unemployment benefits are being stolen by thieves who redirect the funds. Repeat victims say the problem is within Illinois Department of Employment Security computers, but the state won’t release data to pinpoint the problem.
A recent report from the Illinois Department of Employment Security revealed the state lost at least $14.8 million to fraudsters during the pandemic. But experts warn the full extent of state fraud could be closer to $1 billion.
The Illinois Department of Employment Security troubles included scores of unemployed unable to get benefits, nearly 32,500 Social Security numbers exposed and now benefits theft. A simple fix used by many online retailers could have prevented the thefts.
Unemployment is hitting record levels in Illinois with weeks to go until the COVID-19 stay-at-home order expires. Federal action made self-employed workers eligible, but Illinois could be months away from handling their claims.
Illinois’ jobs growth over the past year was 40 percent slower than the national average, and lagged even further behind the average of neighboring states.
Illinois lost jobs across several industries including construction, manufacturing, and professional and business services. The only employment category to see significant growth was leisure and hospitality.