Judy Gilford
on August 30, 2026
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🚨BREAKING: Labor Department Inspector General Anthony D’Esposito just revealed that California still owes $22 BILLION to the Unemployment Insurance Trust Fund. New York is losing nearly $2 million a day to UI fraud and improper payments.
D’Esposito: “Gavin Newsom is $22 billion in debt to the U.I. Trust Fund, which means he owes over $22 billion to the American people because of money he borrowed into unemployment insurance.”
“And quite frankly, that bill is eventually going to have to be paid. And right now, the people who are holding the bag are the business owners in California.”
California is the last state that never repaid its pandemic UI loan to Washington. Employers are paying the freight through higher federal unemployment taxes.
New York: $750 million in improper UI payments and $507 million in fraud in 2025. Recovery: about 25%.
The IG’s message is simple. Pay it back. Stop the bleed.
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