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Recently, there's been an alarming rise in fraudsters attempting to file for unemployment benefits using stolen identities. For example, a company receives a notice from the Unemployment Insurance Agency (UIA) stating that 'Employee X' has filed for unemployment benefits, when in fact 'Employee X' is still a current employee with the company. Another example, same situation as above, except 'Employee X' was recently terminated by the company and now has a new employer, therefore should not be filing for unemployment benefits.

Employers can help stop fraudulent claims by responding to UIA notifications in a timely fashion and making sure the information in the notices is accurate. If you are an individual whose information was used to file false unemployment claims, further action is necessary including checking your credit reports; contacting the UIA, the IRS, your bank(s) and your local social security office; and filing a police report.