State unemployment fraud-compensation - WNEM TV 5

State unemployment fraud-compensation

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Gov. Rick Snyder and lawmakers are looking to create a state fund to compensate thousands of people who were falsely accused of fraudulently collecting unemployment benefits.

The proposal was not included in changes to the Unemployment Insurance Agency that won approval in recent days. But legislators plan to revisit the issue in January.

The compensation has long been demanded by Democrats in the GOP-led Legislature. It would help claimants who were refunded penalties and interest but have faced other financial hardships because of the fiasco that occurred between October 2013 and September 2015.

While legislators involved in the discussions say the compensation would total $30 million, Snyder's office declines to confirm that amount. To qualify, victims would have to agree not to sue the state.

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