Acting U.S. Labor Secretary Keith Sonderling has issued formal demands to 53 states and territories to address systemic fraud and mismanagement in unemployment insurance (UI) programs. In partnership with the Office of the Inspector General, the Department of Labor will employ strict enforcement measures, including withholding administrative funds, to ensure program integrity and protect public funds.
As outlined in letters to governors, the department is explicitly challenging states that permit improper payments, corruption, or waste of taxpayer resources. Sonderling emphasized that non-compliance will result in consequences, signaling a renewed commitment to holding states accountable for maintaining UI system integrity.
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