Greg S. Griffin | State Auditor

Source document: Greg S. Griffin | State Auditor; document type: inspector-general-sigpr-reports.

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GDOL’s Unemployment Insurance Pandemic Response
Work is in progress to implement most recommendations
Greg S. Griffin | State Auditor
Lisa Kieffer | Executive Director

FOLLOW-UP REVIEW • REPORT NUMBER 21-15 • JULY 2025

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270 Washington Street, SW, Suite 4-101 Atlanta, Georgia 30334 | Phone 404-656-2180 | audits.ga.gov
Follow-Up Review Report No. 21-15

Performance Audit Division
Greg S. Griffin, State Auditor
Lisa Kieffer, Executive Director
July 2025

Why we did this review
This follow-up review was conducted to
determine the extent to which the
Georgia Department of Labor (GDOL)
addressed recommendations from our
February 2022 special examination
(Report #21-15).
The special examination evaluated how
long it took GDOL to process claims and
respond to claimant contacts, whether
GDOL took reasonable steps to adjust
staffing, whether technology challenges
impacted timeliness, and whether
claimants had access to clear and
sufficient GDOL communication.

About Unemployment Insurance
Unemployment insurance (UI) provides
payments to eligible individuals who
become unemployed through no fault
of their own. The program is
administered by GDOL and overseen
by the U.S. Department of Labor.
In fiscal year 2021—the first full year
of the pandemic—GDOL paid
approximately $14.6 billion in UI
benefits. This represented a significant
increase from the $302.3 million in
fiscal year 2019. Most benefits were
associated with federally funded
programs (approximately $12 billion),
though regular state UI benefits also
increased—from nearly $300 million
in 2019 to $2.7 billion in 2021. In
2021, these benefits were funded by
employer taxes and federal dollars.
GDOL’s Unemployment Insurance Pandemic
Response
Work is in progress to implement most recommendations
What we found
Since our 2022 special examination, the Georgia Department
of Labor (GDOL) has taken steps to address the report’s
findings. GDOL is replacing its primary Unemployment
Insurance (UI) system and is incorporating key
recommendations into the new system, such as increased
automation and improved reporting. Other improvements
address concerns related to customer service and claimant
communications identified in the original audit.
GDOL is in the process of modernizing its primary UI
system to help address issues.
Using both state and federal funds, GDOL has contracted with
a vendor to replace the information system that handles UI
claims, appeals, and taxes. The new system, known as UI
Inspire, should be completed in Fall 2026. The old system
contributed to GDOL's technological challenges. In particular,
limited automation capabilities meant that many claim-related
tasks were manual, which became problematic during the
pandemic when claims increased significantly.
According to agency staff, the new system is expected to
automatically process 90%-95% of claim applications,
eliminating most manual verifications and detecting adverse
responses that could signal an eligibility issue. For UI payroll
taxes (which pay for UI benefits), the system makes
improvements such as allowing employers to correct
reported wages online. The system will also provide
dashboards and other reporting for management and make it
easier to update claimant correspondence when changes are
needed.
In addition to the new system, GDOL reported using virtual
bots to automate some clerical work for UI appeals and
address the appeals backlog remaining from the pandemic.
GDOL also implemented additional security measures to
reduce fraudulent employer-filed claims and increased its
capabilities for claimants to upload required documents.

270 Washington Street, SW, Suite 4-101 Atlanta, Georgia 30334 | Phone 404-656-2180 | audits.ga.gov
GDOL has improved its customer service processes.
During the pandemic, UI claimants experienced significant difficulties in obtaining assistance from
GDOL staff. To address these issues and improve efficiency, GDOL implemented a customer relations
management system called Dynamics 365. The system includes a historical record of a claimant’s
contacts, as well as case creation and tracking; these features help ensure a single response is provided
and prevent the duplication observed during the pandemic. The system also allows for call monitoring
to help GDOL improve customer service. Additionally, GDOL centralized its phone system for customer
service and implemented a “virtual agent” that answers routine calls and redirects other calls into
applicable queues based on the topic. Finally, GDOL was using a U.S. Department of Labor (U.S. DOL)
grant to implement a system to centralize and direct email contacts. However, the grant was rescinded
in May 2025 (along with similar grants in other states); GDOL reported it is exploring other funding
options to complete the project.
GDOL has also increased its management information around customer service with dashboards to
monitor metrics such as call volume, abandonment rates, transfers, and hold times. Staff will be able to
track metrics around email response timeliness once changes are made to the email customer service
(as described above).
It should be noted that GDOL’s customer service is generally handled by other staff (e.g., claims
processors) along with their other duties. GDOL reported it does not have sufficient funding for a
permanent, dedicated unit, but it has hired time-limited staff to assist with customer calls.
GDOL is improving communications with claimants.
GDOL contracted with a vendor to review commonly used documents and incorporate language more
easily understood by claimants. As recommended in our report, this review included adding
reconsideration and redetermination language to the determination letters sent to claimants and
employers. However, the project used a U.S. DOL equity grant that was rescinded in May 2025. GDOL
indicated half of the documents (including the determination letters) had been updated and will be
added to the new UI Inspire system. Additionally, GDOL has made additions to its online claimant
portal—these include a tracker to show claim status, links to GDOL correspondence, and an issues table
showing missing documents or other claimant actions needed for the claim to proceed.
GDOL made other operational changes after the pandemic ended.
GDOL reported additional changes following our audit, although these were constrained by funding.
During the pandemic, GDOL closed its career centers throughout the state, causing issues for some
claimants. GDOL reported reopening its career centers in Fall 2021; however, career center usage declined
as GDOL increased its capabilities for document uploads and electronic communications. To reduce costs,
GDOL permanently closed five career centers in June 2024; centers were selected based on foot traffic,
rent, other operating costs, and proximity to other centers. GDOL has also reported continued staff
shortages due to declines in federal and state funding. However, since the original audit GDOL has been
able to hire time-limited staff using federal American Rescue Plan Act (ARPA) funds to help address
backlogs related to appeals, overpayments, and Pandemic Unemployment Assistance income verifications.

Agency Response: GDOL agreed with the current status as stated in the report. GDOL noted that “the
pandemic resulted in an unprecedented volume of unemployment insurance (UI) claims,” which
required adjustments to agency processes with limited resources. GDOL further stated, “During the
years following the pandemic, GDOL has focused its efforts on continuous improvements to its
unemployment insurance (UI) system and services. Our top priority is to transform Georgia’s
unemployment insurance program by launching a new, modernized UI system that will reduce

complexity, provide transparency about the process and what individuals can expect at each stage, and
streamline processes and operations that support a simpler, faster, and more efficient customer service
delivery.”

The following table summarizes the findings and recommendations in our 2022 report and actions
taken to address them. A copy of the 2022 special examination report (#21-15) may be accessed here:
GDOL's Unemployment Insurance Pandemic Response.

GDOL’s Unemployment Insurance Pandemic Response
6

GDOL’s Unemployment Insurance Pandemic Response
      Follow-Up Review, July 2025
Status: 12 Findings
Substantially Addressed: 2
Partially Addressed: 4
Not Addressed: 1
No Recommendation: 5

Finding 1: Benefit payment delays were driven by unprecedented volume, limited automation of claims processing, and
other factors.
Original Recommendations
Action Taken
No Recommendations
No Recommendations
Finding 2: GDOL lacks information that would assist UI program management with planning and decision making.

Partially Addressed – Once completed in 2026, GDOL’s new information system should provide the necessary
reporting to manage the UI program. GDOL has also created other methods for internal reporting.
Original Recommendations
Action Taken
2.1 To manage the UI program more systematically, GDOL
should collect additional information and ensure all
information is reliable and accurate.
Partially Implemented – Since our special examination, GDOL has
implemented internal reporting, such as daily emails with claim
volume and dashboards with productivity data. GDOL also created
customer service reports to track metrics such as call volume,
abandonment rates, and hold times.

GDOL indicated its new system, UI Inspire, will include more
comprehensive management dashboards to track metrics. (Staff
indicated they have not made significant changes to the current
system and focused resources on the new system instead.) The new
system is expected to be implemented in Fall 2026.
Finding 3: A documented plan would help GDOL better manage future increases in claim volume.

Partially Addressed – GDOL has not taken steps to create a formal recession plan but has identified information for
some components.
Original Recommendations
Action Taken
3.1 To prepare for future increases in claim volume, GDOL
should create a formal recession plan that considers
lessons learned during the pandemic.
Partially Implemented – GDOL has not yet requested funding for a
consultant to help design a recession plan. However, agency staff
have determined the number of staff (and associated costs)
necessary for claim volume increases based on changes to the
unemployment rate. GDOL has also reviewed recession plans
received from other states for best practices.

GDOL’s Unemployment Insurance Pandemic Response
7

GDOL’s Unemployment Insurance Pandemic Response
      Follow-Up Review, July 2025
Finding 4: While GDOL has made key updates to its claims management system, the system could better facilitate
claims processing and communication with claimants.

Substantially Addressed – GDOL has improved communications with claimants and received additional funds to
implement a new UI system.
Original Recommendations
Action Taken
4.1 GDOL should increase automation of its claims
processing.
Partially Implemented – GDOL has selected a vendor to build a new
UI system, which is expected to be completed in Fall 2026. According
to GDOL, the new system will substantially increase automation in UI
claims processes, which will eliminate most manual verification
processes and instead automatically process 90%-95% of claim
applications. It will also increase automation in employer tax and
wage reporting and UI appeals.

In addition, GDOL has used automated virtual bots to eliminate
certain manual clerical work and help address the appeal request
processing backlog.
4.2 GDOL should continue to improve its communications
with claimants through the portal—particularly with
regard to status updates and document submission.
Fully Implemented – In June 2022, GDOL implemented a new claim
status tracking system that allows claimants to see the status of their
claims and appeals (if applicable). Staff also indicated the tracker
allows claimants to view correspondence from GDOL and submit
missing documentation.
4.3 The General Assembly should consider additional
funding to upgrade/modernize GDOL’s UI system.
Fully Implemented – GDOL received $9.5 million in state funding for
technology improvements in fiscal years 2024 and 2025 (with a
portion being appropriated through the Georgia Technology
Authority). This funding is being used in combination with federal
funding for GDOL’s new UI system.
Finding 5: The number of GDOL employees has declined over time, resulting in fewer employees to address the surge
in claims.
Original Recommendations
Action Taken
No Recommendations
No Recommendations

Other Action Taken: Due to declines in federal and state budgets,
GDOL reported continued staff shortages. However, GDOL has hired
time-limited staff for customer service using UI grant funds and
addressed backlogs using federal American Rescue Plan Act funds.

GDOL’s Unemployment Insurance Pandemic Response
8

GDOL’s Unemployment Insurance Pandemic Response
      Follow-Up Review, July 2025
Finding 6: GDOL’s staffing actions to address the claims increase were similar to strategies used by other state UI
programs.

Not Addressed – No action was taken to provide an exception to the retiree work limit.
Original Recommendations
Action Taken
6.1 GDOL should work with the General Assembly to create
an exception to the retiree work limit during periods of
high unemployment. In future situations like the public
health emergency, GDOL could work with the Office of
the Governor to include a waiver in any related
executive order.
Not Implemented – No action has been taken to address the retiree
work limit. GDOL indicated it would need the cooperation of other
state agencies that administer federal programs (e.g., Department of
Human Services, which administers SNAP).
Finding 7: Information available to claimants was not always clear and accurate, which contributed to application errors,
processing delays, and increased calls and emails from claimants.

Partially Addressed – GDOL’s new UI system and plain language initiative should help clarify information for claimants.
Original Recommendations
Action Taken
7.1 GDOL should identify and implement ways to make the
application process clearer for claimants (e.g., clarifying
language for questions, verification prompts for illogical
answers).
Partially Implemented – GDOL is in the process of updating its UI
system, which will include a new claim application. GDOL reported
that the new application “will be more intuitive and make it easier for
claimants to follow the process flow.”
7.2 GDOL should provide plain language explanations in its
determination letters.
Partially Implemented – GDOL reported using a federal DOL equity
grant to implement plain language in its determination letters, as well
as other documents. GDOL contracted with an external vendor to
review up to 125 commonly used documents and edit them to
include less legal terminology and more plain language. The initiative
was expected to be completed by November 2025, but the equity
grant was rescinded for all states in May 2025. GDOL reported that
approximately half of the documents (including the determination
letters) had been updated and will be added to the new UI Inspire
system.
7.3 GDOL should use surveys or focus groups to test the
clarity of language with claimants and/or employers.
Partially Implemented – As part of the work performed with the
federal DOL equity grant, the vendor was using “surveys and focus
groups to test the clarity of new proposed language in
correspondence.” However, as noted above, the grant was rescinded
in May 2025.
7.4 When changes are made to processes, GDOL should
ensure all communications are updated so claimants
understand what steps they should follow.
Partially Implemented – GDOL staff indicated the new UI system will
improve communications when changes are made to processes.
With the old system, the process to edit correspondence was difficult,
which contributed to GDOL’s decision not to update letters to
claimants during the pandemic. The new system will enable GDOL to
more easily update correspondence.

GDOL has also increased the use of upload capabilities, reducing the
need for claimants to go to a career center. This was a point of
inconsistency during the pandemic.

GDOL’s Unemployment Insurance Pandemic Response
9

GDOL’s Unemployment Insurance Pandemic Response
      Follow-Up Review, July 2025
Finding 8: GDOL adjusted policies to reduce claims processing times but could have considered additional steps.

Partially Addressed – GDOL’s plain language initiative should improve communications regarding reconsideration and
redetermination.
Original Recommendations
Action Taken
8.1 GDOL should include language in the determination
letters to notify claimants of the option to request a
redetermination or reconsideration.
Partially Implemented – GDOL indicated the plain language initiative
(discussed in Finding 7) included adding reconsideration and
redetermination language to the determination letters. Once
implemented, the new system will also include a workflow process for
claimants to request a redetermination online.

As during the initial audit, the claimant handbook mentions the
option for reconsideration, but not the option for redetermination.
Finding 9: GDOL’s requirement that employers file claims on behalf of certain claimants led to faster processing of
many claims but to delays or overpayments in some cases.
Original Recommendations
Action Taken
No Recommendations
No Recommendations

Other Action Taken: GDOL has implemented additional security
measures to reduce fraudulent employer-filed claims.
Finding 10: Career center closures allowed staff to focus on claims processing but increased challenges for claimants.
Original Recommendations
Action Taken
No Recommendations
No Recommendations

Other Action Taken: GDOL reported reopening its career centers in
Fall 2021.  In June 2024, it permanently closed five career centers to
reduce costs; these were selected based on foot traffic, rent, and
proximity to other centers.
Finding 11: The need for claimant assistance grew exponentially during the pandemic, but many claimants were unable
to obtain a response.
Original Recommendations
Action Taken
No Recommendations
No Recommendations

Other Action Taken – GDOL hired 19 term-limited call center staff to
assist with call volume. As noted in Finding 12, additional
improvements to customer service systems should assist with
claimant response times.

GDOL’s Unemployment Insurance Pandemic Response
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GDOL’s Unemployment Insurance Pandemic Response
      Follow-Up Review, July 2025
Finding 12: GDOL does not have systems in place to track claimant inquiries, which leads to unfulfilled requests, delays
in claims processing, and additional inquiries.

Substantially Addressed – New systems to centralize calls and track claimant inquiries have been implemented, and
GDOL plans to extend additional services in the future.
Original Recommendations
Action Taken
12.1 GDOL should develop a system to track which contacts
have received a response to ensure timely responses
and to minimize duplication of effort.
Fully Implemented – GDOL implemented a new customer relations
management system to track claimant phone and web inquiries, as
well as responses.
12.2 GDOL should centralize communications to improve
efficiency.
Fully Implemented – GDOL has implemented a virtual call agent that
centralizes all calls and routes them to 16 different call queues. The
virtual agent system was further enhanced in March 2024 to add
callback options for customers. Future plans for expanding this
service will also include a virtual chat agent, SMS messaging, and
end-of-call surveys.

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