Sunday, July 12, 2020

Texas reverses course, says it won’t collect overpaid unemployment benefits in instances when it was the state’s mistake

By Juan Pablo Garnham of The Texas Tribune.

I had a post a few days ago called Texas seeks millions from unemployed workers after state ‘overpaid’ benefits.

Now the story is changing a bit. Excerpts:

"Workers who lost their jobs and received overpayments from the Texas Workforce Commission won’t have to pay back those unemployment benefits if it was the state’s mistake, commission officials now say.

That’s different from the agency’s previous insistence, first reported by the Houston Chronicle, that the 46,000 Texans who received overpayments in recent months would have to pay the state back — even if they were not to blame.

“Texas is prevented by court order from collecting overpayments caused solely by the commission’s error,” spokesperson Cisco Gamez said"

"The agency is seeking $32 million in unemployment benefits back. The commission said it doesn’t know how many people were overpaid because of TWC errors but that such mistakes are rare."

"In most cases, overpayments occur because applicants report incorrect information or are not eligible, according to the agency.

Claimants who have received notices about overpayments can appeal, but TWC can take legal action if it doesn’t recover the money."

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