U.S. Senate Committee on Health, Education, Labor, and Pensions

06/12/2026 | Press release | Distributed by Public on 06/12/2026 12:52

Chairman Cassidy, Scott Expands Oversight into Unemployment Insurance Fraud, Democrats’ Failure to Protect American Families’ Tax Dollars

WASHINGTON - U.S. Senators Bill Cassidy, M.D. (R-LA), Chairman of the U.S. Senate Health, Education, Labor, and Pensions (HELP) Committee, and Tim Scott (R-SC) slammed liberal governors Kathy Hochul of New York, Gavin Newsom of California, and Maura Healy of Massachusetts for failing to protect billions of American families' tax dollars from unemployment insurance fraud.

According to the Department of Labor's most recent data, New York's unemployment insurance improper payment fraud rate is the highest in the nation at more than 22%, while California and Massachusetts follow at more than 7%. This translates to up to $666 million in taxpayer dollars stolen from American taxpayers in New York, $482 million in California, and $145 million in Massachusetts.

"Lax controls on unemployment insurance systems do not lead to a faceless crime. American families suffer the consequences," wrote the Senators. "It allows criminals who are committing fraud to file claims, steal taxpayer dollars, and distract the state from hardworking Americans' legitimate unemployment insurance claims. That money then ends up in the hands of overseas criminals instead of the people it is intended to help."

Background:

As Chairman of the HELP Committee, Cassidy is leading Senate Republicans to root out fraud and ensure Americans' tax dollars are used responsibly. Earlier this year, Cassidy launched a HELP Committee fraud task force, introduced the Student Aid Fraud Oversight and Accountability Act, held a hearing, led the entire Senate Republican Conference demanding accountability from outgoing Minnesota Governor Tim Walz amid widespread reports of fraud and abuse of federal child care funding, and then expanded his investigation to include Michigan Governor Gretchen Whitmer, Oregon Governor Tina Kotek, and New York Governor Kathy Hochul.

Read the full letter to Governor Kathy Hochul here.

Read the full letter to Governor Gavin Newsom here.

Read the full letter to Governor Maura Healey here.

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For all news and updates from HELP Republicans, visit ourwebsite or Twitterat @GOPHELP.

U.S. Senate Committee on Health, Education, Labor, and Pensions published this content on June 12, 2026, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on June 12, 2026 at 18:52 UTC. If you believe the information included in the content is inaccurate or outdated and requires editing or removal, please contact us at [email protected]