Unemployment benefits fraud

Washington state takes unemployment insurance fraud very seriously. If you have reason to believe someone has applied for unemployment benefits using your information or used a scam to obtain your private information, please report that to us using the information below.

To report employer tax fraud (employers who do not register with the state and don't pay their fair share of taxes), go to the Employer tax fraud page.

Report unemployment fraud

Use our secure fraud reporting form to alert us to an imposter claiming benefits under your name. If your employer already has reported to us the fraudulent claim in your name, you don't need to report it again here. However, you should follow the suggestions below under What should I do if I'm a victim of identity theft?

Fraud reporting form

Information you will need to provide when reporting benefit fraud using our secure form:

  1. Your full name
  2. Your Social Security number
  3. Your address
  4. Your date of birth
  5. Brief description of how you found out an imposter-fraud claim was filed using your information
  6. Please let us know: If an imposter-fraud claim was filed using your information, do you give us permission to deny and cancel it?

Steps you can take if you believe you are a victim of fraud:


Fraud can also be reported by phone to the Office of Special Investigations.

Please note: We are receiving an extremely high number of calls and the fastest way to report fraud is with the form above.

Toll-free
800-246-9763

Fax
800-301-1796


Employers

Employers can report fraud on behalf of their employees by:

  1. Download the Benefit Fraud Employer Reporting Template
  2. Enter the requested information for the affected employees
  3. Complete the form and upload the template on our Employer Fraud Reporting Page.

Download an informational poster for your workplace in English and Spanish.


Questions & answers

Q. What is identity theft?
Identity theft is a crime in which an imposter obtains key pieces of personally identifiable information, such as Social Security or driver's license numbers. Criminals use this information to impersonate someone else, usually for financial gain.

Q. What is unemployment imposter fraud?
When someone illegally files an unemployment claim using another person’s personal and employment information.

Q. How do I know if I’m a victim of fraud?
Many people find out when they receive a letter they were not expecting from the Employment Security Department. Many also find out when Employment Security notifies an employer that a current employee has applied for unemployment benefits. The employer then notifies the employee.

Q. What should I do if I suspect I’m a victim of unemployment imposter fraud?
If you have reason to believe someone has applied for unemployment benefits using your information, report it immediately to the Employment Security Department. Select the Fraud reporting form button above to securely send us your information.

After reporting the fraud to ESD, follow the instructions under What should I do if I’m a victim of identity theft? below.

Q. What should employers do for their employees who experience imposter fraud?
Employers should:

  • Immediately notify their employees about the fraudulent claim. Then either:
    • Instruct employees to securely report the fraud to the Employment Security Department using the Fraud reporting form linked above.
    • Or securely report fraud on behalf of their employees by using the Benefit Fraud Employer Reporting Template linked above. The Benefit Fraud Employer Reporting Template may be useful for providing information about multiple employees and to promptly stop payments on the claims.
  • Instruct employees to follow directions below under What should I do if I’m a victim of identity theft?

Q. What should I do if I’m a victim of identity theft?

  • Go to the Attorney General’s Recovering from identity theft or fraud web page and follow the instructions.
  • File a complaint with the Federal Trade Commission (FTC) online at identitytheft.gov or call 877-ID-THEFT. In addition, the FTC recommends that you:
  • File a police report. Get a copy of the report to submit to your creditors and others that may require proof of the crime.
  • Place a fraud alert on your credit reports and review your credit reports periodically to ensure no new fraudulent activity has occurred.
  • Close the accounts that you know or believe have been tampered with or opened fraudulently.
  • Request your free credit reports via annualcreditreport.com and review them for other fraudulent activities.

Q. If someone steals my identity and the Employment Security Department pays benefits to the fraudster, am I responsible for paying back the money?
No. You will not need to pay back the money. Your employer won’t have to repay it either.

Q. If someone steals my identity and uses my information to apply for unemployment benefits, can I still apply for benefits if I need to?
Yes. We’ll be able to distinguish your legitimate claim from a fraudulent one.

Q. How does the Employment Security Department detect fraud?
We have four main ways of detecting fraud:

  • Our system can spot and flag irregularities.
  • We cross match our data with multiple other sources, including a new national fraud detection system.
  • The victim reports fraud.
  • The victim’s employer reports it.

Q. What is ESD doing to prevent unemployment imposter fraud? 
ESD is:

  • Working with other states and the federal government to cross match data to detect fraud.
  • Has hired additional fraud investigators and continues to use standard and creative information security practices.
  • Has delayed all payments to all claimants by 48 to 72 hours to allow time to root out fraudulent claims.

Q. How can I avoid unemployment scams?

  • Be aware of false websites. Use only ESD’s official website: ESD.WA.GOV.
  • Applying for unemployment benefits is free. ESD will never ask for a payment to process your claim.
  • Follow the tips on the Attorney General’s website. Tips include:
    - Place a fraud alert or security freeze on your credit reports.
    - Monitor your financial accounts, billing statements and credit reports for suspicious activity.
  • Be wary of solicitors asking for your personal information online or by phone. ESD will ask you for information through official correspondence and through your ESD eServices account. If we call you, you can ask the agents to identify themselves.
  • Some have suggested that people create an eServices account — even if they don’t need one — to prevent someone else from creating an account with their name. You can do that, but we don’t know if it will help prevent fraud. So, we neither recommend nor discourage it.

Q. Do fraudulent claims increase the experience rating for businesses and make unemployment taxes go up?
No and perhaps. Unemployment taxes have two parts: One is the experience rated tax employers pay based on how many of their former employees have received unemployment benefits. The other tax is a pool all employers pay into to cover other costs of benefits and those instances when no specific employer pays for benefits. That’s called the socialized portion.

When employees are victims of fraud, their employers will not see an increase in their experience rating. However, we don’t know yet if the socialized portion of unemployment taxes will go up as a result of fraud and other factors. It could.

Q. How many cases of fraud are you currently seeing and how much money do these claims represent?
We started seeing an uptick in fraudulent claims in late April to early May 2020. At this point, we have tens of thousands of individuals whose stolen information has been used to file fraudulent claims and we believe that this translates into hundreds of millions of dollars. We’re working with federal and state law enforcement agencies, banks, the U.S. Department of Labor and the Secret Service to recover as much as we can.


Office of Special Investigations

Employment Security Department's Office of Special Investigations is committed to preserving the integrity of the Unemployment Insurance program. Our office conducts many types of audits throughout the year on unemployment claims to ensure the accuracy of benefit payments made. Individuals found to have committed fraud are assessed penalties (RCW 50.20.070), are required to repay the amount identified as overpaid (RCW 50.20.190), and are subject to possible state or federal criminal prosecution.

We are very interested in the information you provide to us about fraud. However, we cannot provide information to you about the action we take on any allegation reported to our office unless you are an individual defined in RCW 50.13 and WAC 192-15.

State regulations prohibit the disclosure of information contained in the administration of the Unemployment Insurance Program. There will be no further communication from our office unless one of our investigators contacts you.

Learn more about unemployment insurance fraud and the associated penalties in the video below.