On March 11, 2025, the US House of Representatives passed the Pandemic Unemployment Fraud Enforcement Act (HR 1156) with a bi-partisan vote of 295-127. The bill extends authority for criminal prosecution and recovery of fraudulently claimed unemployment compensation paid under the CARES Act. See Rules Committee Text at BILLS-119hr1156rh.pdf
UWC supports enactment of this legislation and submitted the attached letter of support.
House Ways and Means Committee Chairman Smith delivered compelling remarks on the House floor in support of the legislation https://waysandmeans.house.gov/2025/03/11/chairman-smith-if-congress-doesnt-extend-statute-of-limitations-criminals-will-get-away-with-unemployment-insurance-fraud/
The bill now moves to the Senate for consideration. We are cautiously optimistic that the bill will be enacted before the March 27, 2025, deadline.
The prosecution and recovery in the next five years will include recovery of Pandemic Unemployment Assistance funds and other funds that were provided under the CARES Act, and in many cases, there will also be fraudulently claimed regular unemployment compensation that will be recovered to the benefit of state UI trust funds and the employers that finance the state UI trust fund accounts.
We recommend that states and employers work with the US DOL Office of Inspector General, state agencies, and prosecutors to recover the benefits that were fraudulently claimed.
The details of continued prosecution and benefit recovery efforts through the US DOL OIG and states will be the subject of sessions during the National UI Issues Conference in Charleston, South Carolina June 25-27. See UWC: Join Us at the Annual National UI Issues Conference
