Administer the state?S unemployment insurance program activities

The Department of Labor Employment and Training Administration awarded the Division of Employment Security $59,575,832 on October 1, 2025, under the Unemployment Insurance formula grant program (CFDA 17.225) to administer North Carolina's unemployment insurance program activities.

Funding supports operational costs of the state's unemployment insurance program, including administrative workload, claims processing capacity, claimant system operations, staffing levels, and overhead. The award enables the Division of Employment Security to maintain or improve performance on timeliness and quality of claims processing, detection and reduction of fraudulent and improper claims, and handling of overpayments. Intended beneficiaries are unemployment compensation claimants in North Carolina.

Performance period runs through December 31, 2028, with place of performance in North Carolina. The recipient does not intend to subaward funds. The Unemployment Insurance program bases annual grants on workload projections pursuant to economic assumptions and nationally developed workload estimates, with additional quarterly funding drawn based on actual workloads.

Purpose

The purpose of this grant is to administer the state?S unemployment insurance program activities.

Activities

Funding provided to the state is for costs incurred for the operation of their unemployment insurance program. This includes the state?S unemployment insurance administrative workload and their ability to process claims. This also includes the operation of the state?S claimant systems as well as staffing levels and overhead costs.

Expected outcomes

The state is able to maintain or improve levels of performance regarding the timeliness and quality of processing unemployment insurance claims, as well as effectively handling improper payments. The state?S ability to identify fraudulent claims and reduce improper payment rates is maintained or improved.

Intended beneficiaries

Unemployment compensation claimants.

Subrecipient activities

The recipient does not intend to subaward funds.