North Carolina Audit Uncovers Delays in Unemployment Payments, Urges Department of Commerce to Address Failures

First-round unemployment benefits were not timely delivered by the Division of Employment Security (DES) of the Department of Commerce. According to a 2023 audit, DES failed to completely execute corrective efforts, which resulted in noncompliance with federal timeliness standards. The North Carolina Office of the State Auditor estimates that approximately $7.8 million in unemployment benefits were postponed between January 1 and December 31, 2023.

Three major problems with DES were found by the audit: inadequate oversight of timely payments, no plan for dealing with economic downturns, and noncompliance with federal requirements for timely unemployment claims. These discrepancies imply that DES would find it difficult to effectively handle an increase in jobless claims brought on by a natural disaster or financial crisis.

While praising DES for their cooperation during the investigation, State Auditor Jessica N. Holmes recommended DES staff and lawmakers to reevaluate their strategy. “Unemployment benefits provide critical support to our most vulnerable citizens and it is my hope that the findings of this report are taken into consideration by lawmakers and DES staff moving forward,” she said at the Office of the State Auditor in North Carolina.

Note: Every piece of content is rigorously reviewed by our team of experienced writers and editors to ensure its accuracy. Our writers use credible sources and adhere to strict fact-checking protocols to verify all claims and data before publication. If an error is identified, we promptly correct it and strive for transparency in all updates, feel free to reach out to us via email. We appreciate your trust and support!