ACLU sues Rhode Island DLT for unemployment benefit issues

The American Civil Liberties Union filed a class-action lawsuit against the Rhode Island Department Wednesday for not giving people warning or reason for stopping their unemployment benefits.

In the lawsuit, the ACLU alleges DLT violated the UI Act and denied hundreds of people their due process right.

"People are counting on the benefits to pay their rent, to buy food. So, there are many people in very dire situations," explained Ellen Saideman.

The lawsuit names two people who allege this happened to them. Both applied and were approved to receive unemployment benefits after they could not work due to the pandemic.

Saideman said one started receiving the money again weeks later, but still without any additional information.

"Under the law it's very clear that when the government has a benefit program the government can't arbitrarily discontinue benefits without providing individuals with notice," said Saideman.

Saideman said the ACLU believes there are hundreds, potentially thousands of Rhode Islanders in the same scenario.

NBC 10 News has heard from a handful of people with the similar stories.

"Got my payments for a month and a half straight and then all of a sudden boom," said Nancy Mulcahey, a waitress laid off during the coronavirus pandemic.

She said after about three weeks she got a check, but nobody would explain what the holdup was for not getting the check each week.

"It really puts a lot of stress on somebody. It really, truly does. It messes with your head. You don't know what to do. You're not getting answers, they're not picking up the phone," said Mulcahey.

Saideman said the challenges to get in touch with someone at DLT are also problematic.

DLT declined an interview Wednesday evening, but provided a statement.

Since the beginning of this pandemic, the Department has received an unprecedented number of unemployment claims and we have been working relentlessly to ensure that Rhode Islanders are receiving payments as quickly as possible. As is the case in many other states, the Department has also seen instances of fraudulent activity. We take seriously our responsibility to protect taxpayers and ensure the integrity of the Unemployment Insurance Trust Fund. Out of an abundance of caution, the Department temporarily pauses payments on accounts associated with suspected fraudulent activity until an identity verification process can be completed. Individuals whose payments have been paused receive a phone call from the Department.

A DLT spokesperson said were common practice, even before the pandemic, if an account was frozen.

Mulcahey denied ever getting a phone call.

The ACLU said their clients also said they did not get a call or notice. Ultimately, they hope to strengthen the system moving forward.

"Our hope is that the state Department of Labor and Training will work with us to resolve this," said Saideman.

You can read the full lawsuit here.