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Archived News Release--Caution: information may be out of date.

U.S. DEPARTMENT OF LABOR

Employment and Training Administration

ETA Press Release: Ten States To Receive Implementation Grants: Labor Department Awards $8.3 Million to Automate Unemployment Insurance Systems [09/17/1996]

For more information call: (202) 219-6871

 
	 

The U.S. Labor Department is granting 10 states $8.3 million to help make it easier for dislocated workers to file for unemployment insurance benefits, Secretary of Labor Robert B. Reich announced today. Workers in the 10 states who lose their jobs will soon be able to file for unemployment benefits by phone rather than filing in person.

"These telephone claim systems are another part of President Clinton's bridge to the 21st Century," said Reich. "Telephone lines will be replacing waiting lines for dislocated workers all over this country."

Colorado and Wisconsin already have systems to accept all initial claims by telephone, and several other states are piloting this concept in selected offices. The new systems provide savings to employers by reducing administrative costs, and they benefit claimants by eliminating the need to file claims in person at their local unemployment insurance offices.

Individuals may still visit local offices for various types of assistance including job search activities, training evaluation, referral to training or job opportunities and other supportive services.

"Telephone claim systems bring us another step closer to fulfilling our promise to transform the unemployment system to a reemployment system for the American worker," said Reich. "Although job loss is still a difficult fact of life for many individuals, these systems will help make their transition to the next job a little smoother and easier."

States receiving these grants will attend a training session conducted by the Unemployment Insurance Service Information Technology Support Center (ITSC). Training tools will include software programs designed to help States evaluate their telecommunications and equipment needs, as well as a voice simulator which states can use to evaluate the effectiveness and costs of potential sets of instructions that claimants will hear on the phone when they file for benefits.

At the invitation of the Labor Department, 21 states submitted proposals requesting financial assistance. In February 1996, nine states -- Idaho, Minnesota, Missouri, Montana, New Jersey, Pennsylvania, Rhode Island, South Carolina and Texas -- received $60,000 grants for planning how to automate their unemployment insurance claims systems.

The 10 states receiving implementation grants, and the amount of each grant, are listed below.

                    State                  Amount

                    Florida              $732,555
                    Kansas                386,849
                    Massachusetts       1,000,000
                    Missouri              659,769
                    Montana               845,676
                    New Jersey            974,927
                    Pennsylvania          942,700
                    Texas               1,000,000
                    Utah                1,000,000
                    Washington            784,890


Archived News Release--Caution: information may be out of date.




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