L&I takes precautionary measures to protect requesters even though there has been no confirmed data breach
Harrisburg, Pennsylvania – As part of the ongoing investigation into unusual account changes within the Unemployment Compensation (UC) system of Pennsylvania, the Department of Labor and Industry (L&I) is taking the proactive step of offering free credit monitoring services to all UC applicants, even if there has been no confirmed data breach. Interested UC applicants will have the opportunity to sign up for these free credit monitoring services in the near future and more information on how to sign up is coming soon.
Last week, the U.S. Attorney for the Western District of Pennsylvania publicly confirmed an FBI and Homeland Security investigation into what appears to be a highly sophisticated coordinated effort to infiltrate various government systems. While L&I and the Office of Administration were previously required to keep the matter confidential, given this recent public disclosure, the departments can now confirm that they have coordinated the investigation with relevant federal partners.
“The Commonwealth continues to work with federal law enforcement and other agencies to investigate sophisticated attacks on our system,” said Department of Labor and Industry Secretary Jennifer Berrier. “While an investigation into the cause of the account disruptions is ongoing, we want to protect Pennsylvanians from further harm by proactively providing free credit monitoring. We remain committed to working with law enforcement. order to prevent criminals from stealing public money and to catch those behind it.”
Report Fraud
L&I encourages any UC claimant who believes their account has undergone an unusual change to contact the department and follow the steps outlined below.
In line:
- Individuals can report suspected unemployment fraud by visiting the UC Benefits website and clicking “Report Fraud” at the bottom of the page to complete and submit the impersonation form. Do not log in.
- Employers must indicate that the claim is fraudulent in their response to the filed Notice of Claim.
- To report identity theft fraud related to the Federal Pandemic Unemployment Assistance (PUA) program, please click here.
To report telephone fraud, call the PA Fraud Hotline at 1-800-692-7469.
L&I recommends that people who suspect they may be victims of identity theft file a police report with local law enforcement and provide a copy of the police report to the Office of Unemployment Compensation.
The US Department of Labor recommends that victims of identity theft also report their information to the National Center for Disaster Fraud. Victims should also consider initiating a recovery plan with the Federal Trade Commission.
Fight against fraud
Criminals filing fraudulent claims have plagued states across the country since the start of the COVID-19 pandemic, when unemployment suddenly reached historic levels and prompted unprecedented demand for UC benefits. Between March 2020 and December 2021, L&I received approximately 6.9 million applications for UC benefits, including special federal programs created in response to the pandemic. The department responded to this unprecedented need by distributing approximately $48.5 billion in benefits to Pennsylvanians during this time.
During the first months of the pandemic, fraudsters initially targeted the Pandemic Unemployment Assistance program, a special program created by the federal government to provide unemployment benefits to people who lost their jobs due to the COVID-19 pandemic. and who are generally not eligible for UC. In most of these fraud attempts, fraudsters used stolen identities – obtained from data breaches outside of state government – to submit illegitimate claims. In recent months, fraudsters have increasingly targeted traditional unified communications.
In Pennsylvania, L&I and OA have worked with law enforcement agencies across the state – from Harrisburg to Scranton to Philadelphia – to identify and prosecute fraudsters. Since a new UC benefits system was implemented in June, L&I estimates the department has prevented more than $4.7 billion in state and federal dollars from being paid out to potential fraudsters.
The Pennsylvania System for Filing UC Claims uses numerous fraud detection measures, including virtual identity verification provider ID.me to verify the identity of all new jobless applicants. Plans are underway to add multi-factor authentication, a two-step process that will add an extra layer of protection.
In addition, L&I works with the National Unemployment Insurance Fraud Task Force and other partners, including the FBI, Homeland Security and other law enforcement agencies, the Treasury of the state and the state attorney general’s office to identify and block new methods of fraud and stop attempted fraud.
MEDIA CONTACT: Alex Peterson, [email protected]
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