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June 5, 2020

Mainers filed 11,000 unemployment claims last week, a modest decrease

The number of claims for state unemployment benefits declined last week from the previous week’s figure, but Mainers again are applying for compensation at historic levels. Meanwhile, the state continues to investigate fraudulent claims.

The Maine Department of Labor reported Thursday that it received 11,000 claims from May 24-30, down from 16,500 that were filed between May 17 and May 23.

In addition, 13,500 applications were submitted for federal Pandemic Unemployment Assistance, the temporary financial relief for jobless freelancers, independent contractors, self-employed workers and others who don’t qualify for traditional unemployment insurance.

The DOL last week said it was investigating at least 1,000 reports of fraudulent claims involving organized crime, and had already canceled 2,200 applications that used stolen information such as names and Social Security numbers. The department is working with the Maine attorney general’s office, Maine State Police, and federal law enforcement.

On Thursday, the Labor Department said investigations are continuing.

"The Department of Labor is committed to maintaining the integrity of Maine's unemployment system and, alongside our partners, fighting fraud and defending innocent Maine people from scammers trying to exploit them," Commissioner Laura Fortman said in a news release.

"We know these benefits are a lifeline for many Maine people during this unprecedented time, and the Department will work as hard as we can to distribute benefits as quickly as we can while we continue to combat this criminal activity.”

New unemployment claims have skyrocketed during the pandemic, and hit an all-time high of nearly 31,000 in April. Federal relief claims are not included in that total.

Since March 15, the Labor Department has paid out roughly $650 million in unemployment benefits, according to the release.

Maine’s unemployment rate has also soared, reaching 10.6% in April. The rate for May is due to be announced on June 19.

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