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Accelerating the resolution of an unemployment insurance backlog in California

Key takeaways

Maximus helped California resolve over 3.6M unemployment insurance claims tasks in just eight months, clearing an unprecedented backlog ahead of schedule. Our scalable, independent operations preserved program integrity, improved claimant experience, and empowered state staff to focus on complex cases.

Related topics

Case Management  State-Local Government Artificial Intelligence (AI) Workforce Services

Support across workload functions

During a surge in unemployment insurance (UI) claims starting in 2020, the California Employment Development Department (EDD) faced a massive backlog that grew to over 5.7 million uncompleted program tasks. The department needed a vendor that could provide more than just additional staff. They required a proven partner to integrate quickly, operate independently, and deliver results — without burdening state resources.

Maximus answered the call, supporting the department across critical UI workload functions: from administrative fact-finding and documentation to employer protest resolution and benefit audit reviews. 

We supported the state in processing over 3.6 million claims in eight months, helping to reduce the backlog one month ahead of schedule — while maintaining program integrity and enhancing the claimant experience. Furthermore, it allowed the EDD staff to focus on more complex and urgent tasks, helping to resolve issues more quickly and avoid creating additional backlog. 

Challenge

EDD had more than 5.7 million unworked system-generated tasks related to program eligibility issues, employer protests, retroactive benefit audits, and more. Aware of the growing backlog’s impact on operations and claimant customer service, as well as operational risks, the department needed a flexible model to support the unworked volume. With a finite, time-sensitive need, they sought a vendor that could:

  • Integrate quickly into a blended workforce model
  • Rapidly scale operations
  • Operate independently without drawing on state resources
  • Deliver high-quality, accurate work
  • Scale down quickly as the backlog was addressed

Solution

Maximus provided administrative claim support through scalable and efficient operations.

  • Rapid implementation: Within weeks, we hired and trained hundreds of staff, ramping up to a workforce of over 3,000 within 6 months and launching operations for 10 unique workstreams.
  • Fact-finding and adjudication support: Our teams gathered facts, interviewed claimants and employers, and made eligibility recommendations for EDD staff to review.
  • Self-sufficient operations: Our agent support and operations teams resolved more than 70% of technical issues without involvement from state IT resources, reducing the burden on state resources and improving efficiency.

Results

In a matter of months, Maximus cleared the backlog of millions of items across multiple queues, including claims process tasks, employer protests, and deferred determinations. 

We helped the department significantly expand its capacity and improve the number of activities performed across multiple UI workstreams. Our fact-finding and documentation support freed EDD staff to focus on determinations, more than doubling the number they could process per hour. 

Claimants benefited from faster resolutions and fewer delays, while the state preserved program integrity and avoided further backlog growth.

How we did it

Our support helped streamline the weekly claims process. When the system flagged an inconsistency in a case — such as a claimant indicating they did not meet the work requirements for a particular week but attached supporting documents — we reviewed the information and followed up with the claimant. We then noted and corrected the error in the system, allowing the claimants’ case to move on and avoiding a lengthy back-and-forth adjudication process that has burdened so many UI programs.

We also acted as a force multiplier for EDD claims examiners, helping to resolve issues that impacted benefits eligibility. If an employee and employer gave conflicting reasons for the end of the employment, we interviewed both parties and collected supporting documentation. We included our findings with the original application for benefits and made an eligibility recommendation for an EDD staff member to review. With our support, EDD was able to significantly increase throughput and reduce delays during a time of unprecedented volume. 

With a blended workforce, the state leveraged contracted support to resolve administrative backlogs across multiple workstreams, while allowing state staff to focus on priority and complex work — expediting the resolution of the backlog. This model demonstrates how states can rapidly scale administrative capacity to navigate seasonality and manage recession, disasters, or modernization efforts, without compromising program integrity — allowing state UI staff to focus on complex issues and program priorities. 

The Maximus difference

We demonstrated how a blended workforce model can rapidly expand administrative capacity while preserving program integrity and compliance with merit staffing requirements. By integrating quickly, operating independently, and resolving millions of deferred tasks across multiple UI workstreams, we enabled EDD to accelerate eligibility reviews, reduce delays, and avoid further backlog growth.

Our effective UI support project followed our prior success operating California’s 1099-G contact center — supporting call surges during tax season — and supporting the pandemic Mixed Earner Unemployment Compensation program. 

As a trusted and experienced partner capable of scaling quickly, maintaining high quality, and adapting to evolving program needs, we offer a flexible, high-performing support model that can be tailored to meet the unique challenges faced by state UI agencies nationwide. 

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