EDD takes a reset to reduce fraud, process claims faster, handle backlog

(KION) The Employment Development Department is implementing a two week reset period to help tackle backlog issues, expedite payments for new claims and reduce fraud.

The process to get a new faster system in place started on Saturday.

“I didn't want to wait another day to start this reset period to get this system back on its feet and get us to a position where we can address this significant number of backlog cases,” Governor Newsom said in a news conference Monday.

EDD said they have a backlog of nearly 600,000 Californians who applied for unemployment more than 21 days ago, but their claims haven't been processed.

The two week reset period started on September 19, according to the news release from EDD. The reset will only impact people who are applying for benefits for the first time.

 It will only impact those who apply for benefits for the first time.

But local lawmakers say it’s been a long process to get here and some are skeptical  whether  this shut down will actually help.

Assembly Member Mark Stone (D-Scotts Valley) says many people are calling his office after having troubles with the system.

“People will file and not hear anything or the process was very confusing an for most people, they couldn't figure it out or were getting sort of ejected out of the system and didn't understand,” Stone said.

Lawmakers frustrated with EDD over the backlogs see few results.

“We’ve heard a lot of promises about the system being fixed and none of them really turned out to be true so I guess, at best, I’m a little skeptical until we see that they’re putting something in place that works,” Stone said.

Stone wants to see the issues get resolved as quickly as possible for those who need this financial assistance.

“This is real money for people and their lives and their ability to survive and manage depends on it,” Stone said.

To prevent fraud, EDD plans to implement a new identity verification tool that will require people who file claims to upload documents and a selfie to prove their identity.

They hope this will stop scammers much earlier than through their 
current follow up process involving notices through the mail.

As for addressing backlogged claims, EDD said it plans to move around staff to look through old and complicated claims and have new staff process mail and email documents.

Californians who already have established claims can still get into 
their online accounts to monitor payments during the shut down.

New claimants can still submit their personal information through a temporary webpage, but will have to return once the online system is ready again.

EDD told KION their unemployment benefits system will begin accepting new applications again on October 5.