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Laid-off UAW Local 14 workers accused of unemployment fraud by state

36 of the union's autoworkers have received letters from the state claiming they owe thousands of dollars for defrauding unemployment.

TOLEDO, Ohio — Members of the autoworkers union UAW Local 14 have been accused of committing unemployment fraud by the state. But union president Tony Totty said they were laid off, and someone else fraudulently applied for unemployment in their names.

Totty said the 36 workers accused had applied for unemployment in 2021 during the semiconductor shortage, and the fraudulent applications happened one year later.

The Ohio Department of Jobs and Family Services was notified, but Totty said instead of catching those responsible, the state accused the workers of fraud.

The workers then "started to receive threatening letters (from ODJFS) because the state deemed it all as fraud, even the legitimate layoff," Totty said.

The letters warned the workers that they needed to pay back thousands of dollars in wages owed to the state. When General Motors was notified of the accusations, they wanted to be repaid, too.

"One of our members was told he owes back $9800 to the state and $4000 to GM," Totty said.

He said one of the 36 workers has already paid.

"He knows he didn't commit fraud, but when the state attorney general is coming after you, you want to do whatever you can to resolve that issue," Totty said.

ODJFS representatives are coming to the UAW Local 14 headquarters in west Toledo to work personally with those affected later this week.

“We have been working in good faith with Mr. Totty and his workers for some time," Bill Teets, ODJFS communications director, said in a statement. "We will be meeting with them again later this week to look at the specific issues they are experiencing and determine what the root causes may be. It’s an opportunity for us to better understand their experience, resolve any existing outstanding issues, and establish what we and they can do to best ensure a smooth claims process moving forward.”

Totty said he hopes the meeting closes this unfortunate chapter for his workers.

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