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Judge poised to approve unemployment glitch settlement

Unemployment Insurance Agency

The state is close to settling a long-lingering lawsuit over the unemployment system’s false fraud accusations that targeted thousands of people

The class-action lawsuit dates back to then-Governor Rick Snyder’s administration and the switch to an automated computer system that falsely flagged people as having fraudulently been paid benefits. The state’s collection efforts included seizing tax refunds and garnishing wages. The state’s set aside 20 million dollars for the settlement. Michigan Court of Claims Judge Douglas Shapiro:

“Well I do anticipate signing everything at this point.”

The deal would allow people to be compensated for losses such as foreclosure and credit damage as well as lost jobs and divorces caused by the stress.

Shapiro is expected to sign the final approval order on January 19th.

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