October 13, 2011

WE WILL IDENTIFY, ANALYZE, AND ACT ON THE ROOT CAUSES OF IMPROPER PAYMENTS BY BUILDING UPON AND IMPROVING PRACTICES ALREADY IN PLACE.

WE WILL IMPLEMENT NEW PROCESSES AND PROCEDURAL IMPROVEMENTS THAT WILL FOSTER A CULTURE OF COMMON OWNERSHIP.

WE WILL CREATE A MEASURABLE ACTION PLAN AND POST SUCCESSFUL STRATEGIES IN ORDER TO HELP REPLICATE BEST PRACTICES THROUGHOUT THE NATION.

OUR FOCUS WILL BE ON PREVENTING, DETECTING, AND RECOVERING IMPROPER PAYMENTS, WHICH WILL REDUCE THE OVERALL IMPROPER PAYMENT RATE AND INCREASE INTEGRITY THROUGHOUT THE UI SYSTEM.

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Benefit Year Earnings (BYE): Root Causes Identified:

Agency Causes Failure to send NDNH letter to claimants Allowing too much response time for employers to respond to

NDNH letter Failure to follow up for non-response

Claimant Causes Failure to report wages or incorrect reporting

Employer Causes Failure to respond to the NDNH letter Failure to respond to audits Failure to report new hires

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Benefit Year Earnings (BYE):

Planned action(s) to address: Send notice to claimant upon receiving NDNH match Reduce response time for employer to respond to NDNH letter Contact employer if no response Mail instructional memo to claimant with wage statement

Principal milestones: Claimant notice finalized Sept. 2011 and implemented by Dec. 2011 Sent change inquiry for NDNH employer letter to vendor on Oct. 4,

2011 Develop procedure for telephone follow up to employers Nov. 2011 Complete policy and submit to Business and Technology Services by

Nov. 2011

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Separations (SEPs): Root Causes Identified:

Agency Causes Interpreting information incorrectly Failing to ask the right follow up questions

Claimant Causes Providing false or incorrect separation information Providing wrong last employer Failing to disclose a separation Failing to respond to requests for additional information

Employer Causes Failing to return notice or returning untimely Providing incorrect or incomplete information Failing to respond to requests for additional information Failing to report changes to their business

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Separations:

Planned actions to address: Implement State Information Data Exchange (SIDES) Clarify instructions/information on Notice to Employer Review Initial Claim application and clarify differences between a layoff and

discharge Additional training and revised script for new claim and adjudications staff

Principal milestones: SIDES pilot Implementation Nov. 2011 Revise Notice to Employer; Feedback from focus group

Jan. 2012; Implementation April 2012 Review and revise current initial claims application; implement changes by Jan. 2012 Develop supplemental training modules by Dec. 2011 Revise Customer Service Representative (CSR) script by Oct. 2011

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Work Search Issues:

Root Causes Identified:

Agency Causes Not providing warning for inadequate work search Not providing agency expectations of claimant

Claimant Causes Failing to properly document work search Does not understand agency expectations

for work search requirements

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Work Search Issues :

Planned actions to address: Adopt Substantive Policy Statement (SPS) to include at least one warning for

inadequate work search Revise CSR script and internet to include in depth information on work search

requirements Change weekly certification and filing method Mailing instructional memo to claimant with wage statement

Principal milestones: Submitted SPS to Arizona Secretary of State Oct. 5, 2011 Revision for CSR script and internet by Oct. 2011 Weekly certification changes; testing to begin Dec. 2011 Complete policy and submit to Business and Technology Services by Nov.

2011

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Communication Root cause(s) identified:

Claimant does not understand repercussions of giving false or incorrect information

Employer does not understand requirements Planned action(s) to address issue

Posting UI fraud convictions on State UI website Better informing employers of the requirements to report

new hires Principle milestones

Target date for posting criminal convictions is Oct. 2011 Include additional employer information in outreach beginning Oct.

2011 Offer state wide employer outreach sessions at least quarterly Add improper payment information to quarterly employer news letter

Strategies to Support Staff Owning UI Integrity:

Stress the importance of owning integrity from the date of hire through the career span of every employee. Provide each employee with a copy of the UI Integrity Mission Statement and Integrity Task Force Charter.

Educate by providing a presentation that includes this power point and emphasize to all staff the importance of owning integrity.

Develop a Everyone Owns Integrity (EOI) training module to incorporate into all areas of UI training.

Intensify the existing monitoring and review processes to identify and assign accountability to staff members for improper payments.

Provide a mechanism for staff to provide suggestions for integrity improvement.

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Communications Strategies:

To claimants Send letter when there is an NDNH match Mail instructional memo with wage statement Update forms, CSR scripts, and information on website

To employers Implement SIDES Revise Notice to Employer Offer statewide employer outreach sessions at least quarterly and

emphasize importance of new hire reporting

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Communications Strategies, Continued:

To Arizona UI staff Intensive job specific training to include EOI module Informational broadcasts Create email account to receive input for process improvement

To the public Fact sheets (web based) regarding current unemployment issues Inform agency Public Information Officer (PIO) with Integrity Task

Force mission and goals Provide briefing to business and community organizations as

appropriate To Arizona leaders

Inform DES Legislative Services Office about UI Integrity Institute

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“Integrity: Own It!”

Questions?

State Contact for follow-up:

Glenn Campbell: glenncampbell@azdes.gov

Phone: (602) 542-7957

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