Unemployment Insurance Agency's Claims Processing - 186-0319-21

Description of Agency

The Unemployment Insurance Agency (UIA) operates Michigan’s unemployment insurance program, which collects unemployment taxes from employers and provides temporary income for workers who are unemployed through no fault of their own. UIA’s mission is to lighten the burden of involuntary unemployment on the worker and his or her family. UIA strives to provide timely benefits to every eligible unemployed worker. In an effort to slow the spread of COVID-19 which first appeared in Michigan in March 2020, Governor Whitmer issued a series of executive orders that declared a state of emergency and placed restrictions on public gatherings. These orders, which closed schools, businesses, and other employers, resulted in the largest spike in unemployment in Michigan history. The federal CARES Act created new federal unemployment programs, including Pandemic Unemployment Assistance (PUA), Pandemic Unemployment Compensation (PUC), and others, which increased the weekly benefit amounts and expanded eligibility to claimants not otherwise eligible for unemployment benefits. From March 15, 2020 through July 5, 2021, UIA had paid $36.7 billion in unemployment insurance (UI) claims from 5.2 million claims created for 3.35 million unique claimants.

Audit Objectives

  1. To assess the effectiveness of UIA’s actions to establish federally compliant claimant eligibility criteria for the PUA program.
  2. To assess the effectiveness of UIA’s efforts to process UI claims in accordance with selected State and federal requirements during the COVID-19 pandemic.
  3. To assess the effectiveness of UIA’s communications with UI claimants during the COVID-19 pandemic.
  4. To compile and provide information on UI claims processed by UIA during the COVID-19 pandemic and other relevant data.

Timing

Estimated Release Date: Early 2022


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