North Carolina Struggles to Tackle Unemployment as Claims Surge by 5,000 Percent

The North Carolina Department of Commerce’s Division of Employment Security (DES) is struggling to handle unemployment claims, leaving more than 400,000 unemployed workers without compensation during the coronavirus pandemic.

According to ABC-11, the state has paid out approximately $2 billion which accounts for unemployment claims filed by more than 500,000 unemployed workers, as of May 18. However, nearly 900,000 claims have been filed, which signals a filing surge that exceeds 5,000 percent.

The notable increase in the number of claims filed has overwhelmed the state’s current system. Due to the delays, the DES call center has been forced to scale up in an effort to accommodate the estimated 42,000 calls it receives each day, up from roughly 6,000 calls a day previously.

In order to tackle the state’s unemployment backlog and meet the staggering demand, DES officials are working to upgrade its systems and expand its staff. The previous 500-employee roster is now being scaled up to approximately 2,600 workers.

The latest unemployment updates come as the DES’ announces changes being made. North Carolina lawmakers have expressed concern about the unemployment delays and now the state is working to resolve the issues.

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During an address with the Senate Committee on Commerce and Insurance on Monday, Lockhart Taylor, DES assistant secretary, noted that the agency is aware of the problem unemployed workers are facing.

“We are aware that we still have significant problems meeting the needs of North Carolinians. As you know, our call center has been completely overwhelmed,” Taylor told the committee.

He went on to cite the daily issues filers are facing when attempting to contact the agency by phone.

“Many people have been on hold for hours, disconnected because the hold queue is full, or dissatisfied with the service the agent was able to provide. This is unacceptable to me, to Secretary Copeland, and to Governor Cooper. And we are fixing it.”

Taylor also issued a statement of apology to North Carolina’s unemployed workers who are financially impacted during this critical time.

He said, “To every person here today, to every person you Senators have tried to assist with a claim, and to anyone who has been waiting to get the benefits they deserve, I am sorry. You have my commitment to work every day to ensure that we can meet the demand of every North Carolinian who files a claim, has a question, or needs help of any kind.”