(WWJ) The state has reached a $55 million settlement with workers who were ordered to pay back benefits before an appeal or protest was finalized.
The Michigan Court of Claims granted preliminary approval for the settlement in the class-action lawsuit that was filed after workers were ordered to repay millions of dollars before the Unemployment Insurance Agency (UIA) could determine whether a wave of protests or appeals were filed on time, or filed at all.
Thousands of claims were filed during the COVID-19 pandemic.
“This settlement agreement lets us focus staff and resources on customer service and the reforms we are making at the Unemployment Insurance Agency to benefit Michigan workers and employers alike,” UIA Director Julia Dale said, in a media release. “Throughout this legal process, the parties worked cooperatively with each other and the court to establish new processes and procedures so Michigan residents won’t find themselves in a similar situation in the future.”
Under the settlement agreement, the UAI will stop attempting to collect overpayments until protest or appeal rights have been exhausted.
The agency will also implement a process for workers to seek waivers.
Need help with a claim or have questions?
Speak with an agent: Schedule an in-person, phone, or virtual meeting at Michigan.gov/UIA.
Call Customer Service: 1-866-500-0017 during regular business hours.
More information is available at this link.