There’s No Excuse For The Disaster At The Employment Development Department

We are almost a year into the pandemic, and Californians continue to struggle.

Small businesses, especially restaurants, have suffered steep losses; many have permanently closed. An estimated 1.7 million Californians remain unemployed and over 150,000 Californians remain homeless.

Even before the pandemic, roughly one-third of California residents lived at or near the poverty line.

Job losses due to the lockdown have only swelled the ranks of those struggling to pay bills for housing and utilities and who now must rely on food banks just to survive.

Meanwhile, under Gov. Gavin Newsom’s watch, the Employment Development Department (EDD) failed to process a backlog of claims for hundreds of thousands of unemployed Californians while sending out between $11 billion and $31 billion in unemployment benefits for phony claims that included payments to organized crime rings in Nigeria, China, and Russia.

The agency even paid fraudulent claims to death row inmates.

Given California’s feckless political leadership, combined with breathtaking incompetence at the EDD, it is no wonder that international criminals seized the opportunity to steal billions of dollars in unemployment benefits meant for struggling Californians.

As the crisis grew, EDD shuttered its doors and left phones unanswered. The agency called it a “reset” in September when it refused to accept new claims for two weeks.

The state government had plenty of forewarning about the problems. In May 2020, the United States Secret Service alerted EDD that organized criminals were exploiting weaknesses in their systems to steal taxpayer monies. But despite additional warnings from the FBI, the U.S. Department of Labor, the Beverly Hills Police, local district attorneys, and thousands of citizens who filed reports of suspected fraud at the EDD’s online portal, Gavin Newsom did nothing to tackle the widespread vulnerabilities.

To read the entire column, please click here.


  1. “with breathtaking incompetence at the EDD, ….”

    I do not for a nano second believe this statement. Having watched these types for years it is intentional.

    They have been told by decades of Socialist Democrats to ignore honesty and tracking of illegal activity through the EDD.

    So if the Title of the article is correct it means every top Democrat in the state should be facing criminal charges and jail time……..

  2. Another reason for recall efforts and should be a major highlight as one of the numerous blunders under Gruesom and other libs in office! Absolutely shameful!

  3. AND, DMV should be under investigation also!

  4. Spelling change: no ‘P’ in punishment.

  5. Recall the pomaded fool at:

  6. Since the State of California (?) has so many various Departments of “Oversight” maybe it’s time for some serious Cali oversight by the serfs? Get rid of electronic voting machines as well as ballot harvesting and mail in ballots with the exception of Military and actual verified hardship. Vote in person with “Valid” i.d. and paper ballots counted and verified as turned in at polls.

  7. Chris Renner says

    Donald J – good ideas but I have a better but no chance idea. Line up all the state government workers, including teachers and policemen, and count off 1-2-1-2-1-2. All the 1’s stay in their job and all the 2’s are laid off. We will get the same production for half the funds! Simple!

  8. 1. When was the list of California subsidized Committees on everything from Blue Berries (not grown here) to extinct reptiles las published? The taxpayer would be incensed at the hundreds of millions of dollars spent on politically appointed committees paid ford quarterly meetings.

    2. Does Coupal know what percentage of the lowest 1/3 of the population is here illegally? Interesting to know who the poor are and who we are inviting to our State and subsequently subsidizing.

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