Colorado employers overpay millions due to labor department error

In Colorado, a recent audit revealed that a programming error in the Department of Labor and Employment's MyUI+ unemployment benefits system caused significant overcollections from employers. The audit indicated that during the past year, approximately $5 million was overpaid by employers, impacting up to 30,000 businesses across the state. Additionally, the findings highlighted that around 4,100 employers who were supposed to contribute to the Family and Medical Leave Insurance (FAMLI) Program failed to make their payments, while some employers who were exempt ended up paying a total of $127 million. This discrepancy in contributions has led to concerns about the reliability of the state's unemployment and FAMLI systems. The Colorado Department of Labor acknowledged the audit's findings, stating that they take these issues seriously and are working to address the problems identified. They have purportedly pinpointed the employers affected and are in the process of either crediting them for overpayments or billing them for underpayments. Critics, including Republican State Senator Lisa Frizell, expressed lapses in trust toward the system, arguing it has created confusion and issues for both businesses and employees who contribute to FAMLI. The audit's revelations prompt calls for a revamp of the systems to restore confidence among Colorado's citizens and businesses, highlighting ongoing reliability issues in state-managed programs designed to support employer and employee interactions.