Federal Grant Award Summary

The Employment and Training Administration (ETA) awarded the New Jersey Department of Labor and Workforce Development a formula grant of $37.0 million under the Unemployment Insurance program (CFDA 17.225) effective October 1, 2025, through December 31, 2028. This funding supports the state's administration of unemployment compensation programs and related operations, including claims processing, eligibility determinations, claimant system operations, staffing, and overhead costs. The grant enables the state to maintain or improve performance in timeliness and quality of claim processing, effectively manage improper payments, and identify and reduce fraudulent claims.

The award directly benefits unemployment compensation claimants by ensuring robust state administrative capacity to deliver unemployment insurance services. As a formula grant based on workload projections and nationally developed estimates, the funding is allocated to support the operational infrastructure necessary for the state to fulfill its role in the federal-state partnership governing unemployment insurance administration. No subrecipient activities are planned under this award, with all funds directed to New Jersey's direct program operations.