Tennessee Department of Labor Announces $6.8 Million Infrastructure Grant for State Unemployment Insurance Technology

Monday, October 05, 2009 | 09:38 am

Tennessee Leads Consortium to Improve Systems for Unemployed Workers

NASHVILLE — The Tennessee Department of Labor and Workforce Development is receiving $6,892,526 for technology upgrades to the system that processes benefits for unemployed Tennessee workers. Of the $164.5 million the U.S. Department of Labor awarded to 49 states, Tennessee was given the fourth highest amount in the nation.

“The unprecedented demand for unemployment insurance benefits has made it clear there are opportunities to improve our systems,” said Labor Commissioner James Neeley. “For the last year we’ve utilized a number of short-term solutions to handle the workload. This grant will allow us to develop long-term infrastructure improvements for benefits processing and payment.”
Funds will be used for a variety of projects designed to improve services for both unemployment insurance claimants and employers, including upgrading the Unemployment Insurance telephone and Internet claims-filing system, improving the scheduling system for benefit appeals, acquiring digital scanners and an automated dialer system for the prevention, detection, and collection of unemployment insurance fraud overpayments.
Additionally, a feasibility study conducted by a consortium of states, including Tennessee, North Carolina, South Carolina and Georgia, will develop, plan and design an approach for a common unemployment insurance benefit system that could be used by multiple states.
The federal funding was provided following supplemental budget requests by nearly all states and is made available through the fiscal year 2009 budget and appropriations for state administration of the Unemployment Insurance Program. 
For more information on Department of Labor unemployment insurance operations and the full range of employment and training programs and services, visit http://www.doleta.gov.

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