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State Wins Unemployment Improvement Grant

U.S. Department of Labor

Kentucky is getting $1 million from the federal government to enhance its unemployment insurance program and reduce worker misclassification.

The U.S. Labor Department announced Tuesday that more than $39 million was being awarded to 45 states and territories. The funding is to help prevent and detect improper benefit payments, improve program performance, address outdated information technology and combat employee misclassification as independent contractors.

Of Kentucky's total, half is for program integrity and performance improvement and half is to identify cases of worker misclassification.

The agency says worker misclassification causes losses to state unemployment insurance funds and denies workers access to benefits and protections they're entitled to receive.