This Colorado Woman Is Refusing To Return The Unemployment Benefits She Says She Was Owed

Lyn McLaughlin, CBS

Photo: CBS Local

The state of Colorado is probably kicking itself right now for issuing a whopping $128 million in unemployment benefits by mistake, according to CBS Denver. But Lyn McLaughlin, who received $3,500, isn’t budging. 

“I went nine desperate months with only a few hundred dollars in UI payments while being eligible,” she told the site in an email.

“During this time, I had expected and been promised a large lump sum payment. After 9 months of waiting for the system to correct itself, I was given a lump sum which matched the amount they say I owe. Many employees within the issuing department agree that this money was NOT given in error and that I was rightfully entitled to payments.”

According to CBS, 96 per cent of the payouts were “clerical” errors, meaning people either received checks they didn’t deserve or more than they should have. The other 4 per cent went to scammers. McLaughlin said what’s done is done, but the state doesn’t feel the same way.

“We understand hardship, but we need to return that money to the state,” a Dept. of labour and Employment spokesperson told CBS. 

As we’ve noted before, there’s not much you can do to prevent these kind of nightmares, but it’s worth producing pay stubs and tax documents to prove you paid unemployment taxes throughout your employment.

Additionally, you can trying filing an appeal as you’d do when paying back taxes. If things work out, the state might be willing to negotiate a repayment plan that works for both of you. 

SEE ALSO: How unemployment changed this currency strategist’s life > 

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