Update on the Office of the Unemployment Compensation Ombudsman, 4th Quarter, FY 2025

Summary

This October 1, 2025 letter from Commissioner Demetrios Melis of the Virginia Employment Commission (VEC) to the Governor and legislative chairs updates the Office of the Unemployment Compensation Ombudsman for the 4th Quarter, FY 2025. It states that in the fourth quarter of FY 2025 the Escalation Team received 7,877 cases and closed 7,855 cases, with an average of 54.8 hours to contact customers and 4.9 days to close cases. It states that over 77% of those customers contacted VEC through the customer contact form on the new VEC website, and that challenges with online services (21%) were another noticeable trend. Two attachments cover escalation cases by submission source and outreach visits by VEC.

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Full text

Demetrios J. Melis                                                                              Post Office Box 26441
Commissioner                                                                                Richmond, VA 23261-6441


                                                  October 1, 2025


           TO:       The Honorable Glenn Youngkin
                     Governor, Commonwealth of Virginia
                     P.O. Box 1475
                     Richmond, Virginia, 23218

                     The Honorable R. Creigh Deeds           The Honorable Jeion A. Ward
                     Chair, Senate Commerce and Labor        Chair, House Labor and Commerce
                     Senate of Virginia                      Virginia House of Delegates
                     P.O. Box 396                            P.O. Box 7310
                     Richmond, Virginia 23218                Hampton, Virginia 23666

                     The Honorable Adam Ebbin
                     Chair, Commission on Unemployment Compensation
                     Senate of Virginia
                     P.O. Box 396
                     Richmond, Virginia 23218


           FROM: Demetrios J. Melis, Commissioner

           RE:       Update on the Office of the Unemployment Compensation Ombudsman – 4th Quarter,
                     FY 2025

           Dear Governor, Chairmen, and Madam Chair:

           Per the Appropriation Act – Chapter 725, Item 356 I. (Regular Session, 2025) of the
           Commonwealth of Virginia, the Virgina Employment Commission (VEC) is required to provide a
           quarterly report to update the General Assembly on the Unemployment Compensation
           Ombudsman, to the Governor, House Labor and Commerce Committee, the Senate Commerce
           and Labor Committee, and the Commission on Unemployment Compensation. This letter serves
           to meet that requirement.

           Specialized Escalation Team:


     (804) 786-3001                                                                VRC/TDD VA Relay 711
     www.vec.virginia.gov                                                Equal Opportunity Employer/Program
Page 2



The Ombudsman duties are carried out by VEC’s Chief Customer Advocate. In the fourth
quarter of FY 2025 the Chief Customer Advocate continued to serve Virginians in need of
unemployment assistance. The Chief Customer Advocate is supported by a Specialized
Escalation Team that includes up to 12-15 employees, overseen by two supervisors. The goal of
the Escalation Team has been to provide specialized assistance, within 48 hours, to customers
facing challenges navigating the VEC systems, as well as cases forwarded to them by other VEC
units and legislative offices.

In the fourth quarter of FY 2025, the Escalation Team received 7,877 cases and closed 7,855
cases. On average, the Escalation Team was successful in contacting customers within 54.8
hours and closing cases within 4.9 days. Over 77% of those customers contacted VEC through
the customer contact form on the new VEC website, highlighting VEC’s progress in expanding
direct lines of communication with those whom we serve. This online form and collaboration
with the Escalation Team have helped reduce the waiting times for those who need to contact
VEC by phone.

Additionally, the Chief Customer Advocate continues to pay close attention to the case
escalation trends. Challenges in filing the initial or weekly claims as well as payment issues
formed half of the cases that needed to be escalated. Challenges with online services (21%)
were also another noticeable trend in the fourth quarter of FY 202. While each escalation case
can be unique, some customers lacked familiarity with online processes while others faced
difficulties with identity verification mechanisms in place to prevent fraud. Continued data
analysis over time remains essential to helping the Chief Customer Advocate identify any
operational inefficiencies and propose potential solutions.

Outreach Efforts:

Due to the impact of the federal workforce changes on some Virginians, multiple VEC offices
mobilized to support the Chief Customer Advocate’s outreach efforts, particularly in Northern
Virginia. The VEC’s Policy and Legislative Affairs Director participated in webinars for former
federal workers to educate them on how to apply for Unemployment Insurance benefits. One
webinar was specifically for former USAID employees returning from overseas. The Chief
Customer Advocate also personally traveled to Alexandria and Woodbridge to attend events
organized by local representatives for those impacted by the federal workforce transition.
Additionally, the Director of Communications participated in a Community Resource Fair in
Henrico County to share updates on UI eligibility, online filing and VEC’s new upgraded website,
which received praise from one of the state delegates in attendance.


Stakeholder Engagements:

The Chief Customer Advocate has responded to over 250 emails from employers across Virginia
who asked for assistance to navigate the VEC systems and their obligations as employers. The
Page 3



Chief Customer Advocate also coordinates closely with Virginia Works, having already
participated in several inter-agency interactions this quarter.

Additionally, to improve VEC’s overall customer service, the Chief Customer Advocate is
evaluating how claimants and employers request assistance from the VEC. Because customers
currently use multiple channels—sometimes causing delays or duplicate responses—VEC is
forming two teams to enhance how we respond and share information. VEC will survey
employers, claimants and staff to further quantify issues that are known and discover unknown
issues, with the hopes of providing recommendations to VEC’s leadership. The first survey is
expected in October.

The VEC continues to see momentum in our service improvements, education and outreach
efforts, and foster positive and collaborative partnerships with other interested stakeholders. I
look forward to providing updates on our future progress. Please do not hesitate to contact me
at demetrios.melis@vec.virginia.gov with any questions or feedback.


                                                    Sincerely,



                                                    Demetrios J. Melis
                                                    Commissioner



Attachment 1: Escalation Cases by Submission Source in Quarter 4, FY 2025
Attachment 2: Outreach Visits by VEC in Quarter 4, FY 2025
Page 4




    Escalation                                 Avg. 1st      Avg. Case
                    Cases
   Submission                 Cases Closed   Contact Time   Turnaround
                   Received
     Source                                    (Hours)      Time (Days)


 Agency/Internal    1,085        1,076          66.92           6.5


  Customer Web
                    6,118        6,114          54.39           4.2
      Form


   Governor’s
                     184          182           29.79          11.0
     Office


    Legislator       490          483           43.24           7.2

         Total      7,877        7,855          54.84           4.9
Page 5


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