Over $4 Million in PA Unemployment Fraud

WGAL has a story on reports from the Pennsylvania Department of Labor and Industry of over $4 million in fraud in unemployment compensation benefits.  You can assume there is more fraud than has been uncovered.

This should be expecially disconcerting, given the state is currenlty borrowing money to pay the current unemployment compensation costs, and because the federal stimulus package would require the state to increase benefits for unemployment compensation.  Governor Rendell has admitted this will be an additional cost to the state, but intends to take the money anyway, as most of the burden on PA taxpayers will hit under the next governor.

The PA Chambers has some ideas for unemployment compensation reform, and the Institute for Full Employment has some state comparisons and policy suggestions for Pennsylvania on unemployment insurance.