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EXCERPT:
The Trump administration has deployed a federal strike force to New York to recover hundreds of millions of dollars in improper unemployment payments.
The move comes after the Democrat-controlled state recorded the highest unemployment fraud rate in the nation.
The Department of Labor (DOL) announced the operation in coordination with the White House Task Force to Eliminate Fraud, saying the effort will target fraudulent claims that have cost taxpayers hundreds of millions of dollars.
New York Leads Nation in Unemployment Fraud
According to the Department of Labor, New York accounted for $507 million of the $750 million in improper unemployment insurance payments reported nationwide in 2025.
Federal officials say the state has the highest unemployment insurance fraud rate in the country at 15%, along with the nation’s highest improper payment rate at 23%.