Update — 10/18/22

Thousands of workers with Working Washington organized to fight back against unfair and erroneous overpayment notices. After months of speaking out, we’re finally seeing change! 

Workers who have received overpayment notices on their unemployment benefits are sometimes eligible for “waivers” — an often-complicated process to stop the state from trying to take back benefits. (Note: “waivers” are different from “appeals” because waivers apply in scenarios where ESD agrees not to take back money from a worker, even if the worker was overpaid.)

Thanks to the relentless organizing of hundreds of workers, ESD has finally announced that they’re dramatically expanding the number of overpayments that are eligible for waivers, by creating a series of blanket waivers to cover many common federal overpayment scenarios and expanding eligibility for individual waivers to cover even more state UI overpayment scenarios.

Update — 4/5/22

A small handful of us have had our overpayments suddenly waived by ESD—but only after we spoke to reporters and our stories were covered by major Seattle news outlets.

Thousands of us are still getting letters demanding we repay thousands or even tens of thousands of dollars. We should not have to—and cannot—rely on individual reporters to shame the state into action. We need a blanket waiver on overpayments.

So many of us have had to turn to the unemployment system over the past two years of the pandemic. But instead of ensuring timely, reliable benefits, WA state leaders have let huge backlogs continue—and now they are even sending notices in an attempt to take back benefits they have already paid out.

The WA Employment Security Department is demanding millions of dollars in emergency benefits back from people who are just trying to stay afloat.

What the crisis looks like

When COVID took hold, many of us lost our jobs and applied for emergency pandemic unemployment assistance. After a wait period that was far too long, we were able to take a breath of relief when we finally started receiving benefits to be able to cover basic expenses. Since then, many of us have gone back to work and stopped claiming benefits.

But now, out of nowhere, we’re getting collections notices in the mail from ESD stating our benefits were overpaid. It doesn’t explain why or how ESD came to this conclusion, but it does demand we pay back sometimes tens of thousands of dollars or risk liens on our property, garnishment of wages, and ongoing impacts to our credit scores. Suddenly, we’re on the hook to pay back benefits that we used up a long time ago to survive, benefits that were meant to support us through a crisis, and that were never meant to be a loan.

Why it’s happening

ESD is sending these overpayment notices to people who filled out their claims accurately and honestly, and whose eligibility for unemployment benefits was previously approved by ESD. But oftentimes due to policy changes or ESD errors, our benefits are retroactively determined to be incorrectly paid, and therefore assessed as an “overpayment,” and we are told we now owe that money back. For many of us, it’s a determination that can be nearly impossible to get reversed.

How it’s affecting us

In some cases, ESD has garnished our current benefits, bank accounts, or tax returns to pay off those balances.

ESD says they are not pursuing collections activities and want to waive overpayments—but as you’ll see from our stories below, that’s not everyone’s experience. ESD continues to send out new notices, forcing people to spend hours on the phone waiting to speak with someone on a notoriously understaffed phone line, wait for appeals hearing dates that are months out, and worry if our wages will suddenly be taken out of our bank account, all while trying to recover from the ongoing impacts of the pandemic.

Hundreds of us are speaking out to share our stories, which point to the need for ESD to create a blanket waiver of overpayments during the pandemic period. There are too many cases for ESD to walk through one-by-one, and we don’t deserve to be held financially accountable or left in limbo while ESD makes their way through their long overpayment list. We need a blanket waiver now, so that we can begin to recover from the financial impacts of 2020.

Overpayment Resources

We’ve come together to create a crowdsourced resource page for people facing overpayment notices from ESD. The resources we’ve put together are the best information and advice we’ve been able to collect as a group based on what has worked for people and what hasn’t.

>>> Click here to visit the Overpayment Resources page. <<<

our stories:

Dora P., Lakewood

“I was a caregiver when I became unemployed and applied for benefits in January 2021. It took 12 weeks from the time I first applied to receive any payment. Shortly after, ESD switched my payments from PUA to standard state unemployment. Then in April 2021, I received an overpayment notice for $9,800 without even telling me the reason for it. I filed an appeal to address the overpayment, but ESD garnished $743 from my checking account…”

>>> Read Dora's full story here.

Chelsea R., Shoreline

“My husband was a web developer when he filed for unemployment in March 2020. His PUA ended in September 2020 and he received an overpayment notice of $7,904 in December 2021 with no explanation why. We have called ESD several times to try to get answers and filed an appeal…So far I've heard zero follow-up from them at all.

My husband is now employed as a website marketing specialist, but ESD is demanding $237/month. So far we've paid back $474…Huge corporations and billionaires got tons of money in PPP loans and bailouts which they never have to pay back. But poor working class people are expected to just give back money they needed while unemployed, when COVID is nowhere near over?…”

>>> Read Chelsea’s full story here.

Erin H., Yelm

“At the time when COVID hit I was a substitute bus driver. My job ended on March 13th of 2020 when the governor said that the state would be shut down for 2 weeks. My experience with unemployment has not been a good one. When I applied for UI in March 2020, I kept applying 6 more times until I was approved for PUA…I waited and waited until June 18th when I was finally paid out all the weeks that I had been waiting for.

Then, in November 2020 I received an overpayment letter for $7,050 that stated I was no longer eligible for PUA for the year I was getting benefits because I qualified for regular UI instead. The emotions that I had to go through were so overwhelming that I had to be put on an antidepressant because here I was at home due to this COVID during a PANDEMIC and I am being told 7 months later that I have been overpaid and now I have to pay it all back. I was shocked and speechless, so I filed an appeal…”

>>> Read Erin’s full story here.

Sara G., Spokane

“In November of 2020 I received letters stating I had been taken off of PUA and put on regular UI which then lowered my weekly benefit. This caused several overpayment notices to occur… During that time, I received at least 13 overpayment letters ranging in amounts from zero all the way to $3,500…I spent over 11 months calling and sending messages via their secure message center, and they never responded…”

>>> Read Sara’s full story here

Carmen F., Shoreline

“I’m a delivery driver for GrubHub and applied for unemployment in April 2020. While going through ESD’s system, I experienced long wait times, constantly resending ESD the same documents while they demanded more information without telling me what they wanted…In January 2021 I received an overpayment notice for $702 stating I was overpaid…The Employment Security Department is a black hole of tangled red tape and the gold standard of ineptitude…”

>>> Read Carmen’s full story here

Chakira W., Kent

“I was working as a customer service representative at the beginning of the pandemic. I filed for unemployment in March 2020 but had to wait over 6 months to receive my benefits. In August 2021 ESD sent me a letter saying I owe them $22,000 because I was not eligible for benefits (after they said I was.) I have called ESD several times to try to get answers and filed an appeal that I’m still waiting to hear back on….

It causes me so much stress owing something I cannot afford to pay on top of my rent, bills, everything. My taxes have an offset, too. This is really crazy. They make you wait months and months to be approved then approve you only to say you have to pay it back.”

>>> SHARE CHAKIRA’S STORY

Sherry A., Yakima

“I worked at a restaurant but became unemployed at the start of the pandemic. I received benefits from April 2020 until January 2021. In April 2021 ESD sent me an overpayment notice for $21,000 because I needed to verify my identity. Their letters are aggressive and extremely stressful. They wanted $1,800 a month for repayment.

I contacted my elected officials and tried calling ESD several times. The unemployment office is a joke. That office isn’t held accountable for reasonable turnaround time. They don’t respond and their phone lines are jacked. Of course no one got back to me until recently to tell me I accidentally uploaded two pics of the same image for my identity verification. My overpayment was cleared, but ESD just sent another letter saying I owe them money again.

Why isn’t this state agency being held accountable? Why aren't messages we send responded to in a timely manner? Why are they allowed to threaten garnishment etc. if they don't even respond to us? It shouldn't take months and months to resolve issues.”

Noah R., Bellingham

“I was working in retail when I became unemployed in April 2020 due to the pandemic and applied for unemployment benefits. I had to call ESD 300 times a day at the beginning of the pandemic just to get through and get issues resolved to get my benefits. It took a month of me doing this before they paid me but they backdated it as well. In November 2021 I was off benefits for a little as I found a job, but it didn’t pay enough to make rent. 

In November 2021 ESD sent me an overpayment notice for $25,500 because my claim was under UI. I left my job under terrible conditions due to COVID and was told I would receive help. I had no clue that if I left my jobs because of the pandemic that my claim had to be PUA. My understanding was that either was okay under the pandemic conditions. 

I’ve filed an appeal with ESD and am waiting to hear back. I'm stressed everyday and I've put off doing my taxes. It's tough, too, because now I'm being told I owe everything I was already paid out just to get by. It's put stress on my family too. I'm just out of college with 20 grand in student debt and now ESD says I owe 25 grand that I simply don't have. ESD is asking me to pay $1,300 a month, which is more than my rent. All I needed was help until the pandemic started to quell. I'm so terrified of this next year if I'll have to pay back that aid money. I feel as if I can't ever trust these unemployment programs again.”

Yudy W., Shoreline

“I was laid off as a technician for Quality Assurance due to COVID and applied for benefits in April 2020. I stopped receiving unemployment benefits in November 2020 when I also received an overpayment notice for $1,850. ESD said that I didn't qualify for state unemployment. I've shown them my layoff letter, but it didn’t count and ESD never bothered to call my employer to confirm my layoff.

When I filed my 2021 taxes, $1,600 was taken from the IRS to pay for the overpayment. My account still shows that I owe the complete money, so I don't know where my tax money went towards. This overpayment has brought me emotional stress and mental anguish. My government certainly taxes me, but offers no support whatsoever.”

Genevieve B., Shoreline

“I’m a licensed massage therapist and first applied for unemployment in March 2020. I had 2 open claims, one for my self employed business and one from my employee status. When I ended my employment — due to safety issues and poor management — I reopened my PUA claim for my self employment and filed for 2 months under that. I had stated my employment had ended and restarted my PUA claim, so was surprised to notice later that the claim through my terminated employer was still open and I was being paid from there. I emailed the state right away and asked why but did not receive an answer. After 3 months I went back to work for said employer — after issues had been resolved, and then I no longer needed unemployment.

In June 2021 I received an overpayment notice for $3,500. I filed an appeal and called ESD several times to try to get answers. I am still receiving regular collection statements & am waiting to hear back about my appeal. I keep asking the same question and have never gotten an answer. It is very stressful, on top of all of the other stress of this time.”

Scott B., SeaTac

“I was furloughed from an airline in March 2020 and received unemployment benefits from March until September 2021. ESD made me wait 28 weeks to receive benefits and while receiving benefits, my payments were stopped and started repeatedly. I had to dispute with ESD multiple times.

In December 2021 ESD sent me an overpayment notice for $44,000 without explanation. I called ESD several times, filed an appeal, filed a waiver request, and contacted my elected representatives. Up until March 2021 I was receiving regular collection letters. ESD finally cleared my overpayment, but I’m still holding my breath. Their overpayment notices have made my life a lot more challenging.”

Rosa S., Seattle

“I was working as a corporate manager and became unemployed in March 2020. I waited 9 months to get payment from unemployment insurance and my payments would be put on pause because I constantly needed to verify my identity. My employer also gave ESD the wrong info saying I worked for that time and was earning money, but I only worked for a little bit and stopped.

ESD sent me an overpayment notice in September 2021 for $38,000 and another in October for $35,000. ESD is saying I shouldn’t have been paid those benefits, yet they always approved it. They said my income was multiplied by a certain amount and that's what I owe, yet the math doesn't add up.

I’ve called ESD several times, filed an appeal, and contacted my elected officials. I can't even think about paying this back because I am about to be homeless with 2 kids. I still have no job and no way to pay this huge expense that I should've never gotten in the first place. The stress of it's been terrible and I had no idea they're applying interest to it. I just had a baby so this is extra stressful. I also am not sure if this will affect my ability to collect in the future.

It’s wrong they've been doing this to so many people. It needs to be stopped and overturned for everyone. We are all already having hard times, why make it worse for everyone?”

Shirley B., Lake Stevens

“I was working as an administrative assistant in aerospace when I became unemployed and applied for benefits in July 2021. While collecting benefits, I had issues getting through on the phone, received conflicting info from each representative, and wouldn’t receive promised call backs with information.

In September 2021 ESD sent me an overpayment notice for $2,700 and then another in October for for $16,000. I couldn’t understand the correspondence and don’t know the cause of my overpayment. The most recent balance I’ve seen is for $27,000. I’ve tried contacting ESD and filed both an appeal and waiver request, but haven’t heard anything about it. I’m overwhelmed by this situation and concerned that my retirement funds and SS benefits will be garnished. I’m just trying to live off of savings til I can collect full Social Security in 14 months.”

Randolph M., Renton

“I was a package handler when I became unemployed and applied for benefits in October 2020. ESD stopped my payments because of the Nigerian Fraud and I waited for 2 months. I called ESD so many times and they gave me a run around. I stopped receiving benefits in September 2021. A few months later in December, ESD sent me an overpayment notice for $7,000 without giving me a reason why.

I’ve contacted my elected officials and filed a waiver request. Now, I need to provide more info to ESD to resolve my overpayment. I’ve lost everything. I was living in my car but lost it because I couldn’t afford the monthly payment anymore. I’m working at FedEx now just to pay my child support.”

Leafaitulagi T., Milton

“I was an office manager at the beginning of the pandemic and went on unemployment in April 2020. It's been a nightmare from the very beginning. I was locked out of my account and could not file my weekly claims for about 2 months. ESD also switched my benefits from state unemployment to PUA. I stopped receiving benefits in September 2021 and received an overpayment notice in December.

ESD is telling me that I owe them over $24k because I did not qualify for PUA. I’ve filed an appeal and am waiting to hear back. I’m working now as a leasing consultant, but I am so stressed that my taxes and paychecks are going to be taken. My family and I moved to Texas for a new start and now I am worried that this will throw our new start off.”

Michele H., Everett

“I used to be a paralegal but my employment ended, so I applied for unemployment insurance around March 2020. My issues with ESD when collecting unemployment are the same as everybody else has. I stopped receiving benefits last fall and received an overpayment notice in January for approximately $1,500 because they made a “mistake.” I am now working as a bookkeeper and do not have time to call them and sit on hold for hours not able to pay back. ESD has caused immeasurable stress.”

Roy U., Suquamish

“I first applied for benefits in July 2020 when my employment ended as a network architect. I stopped receiving benefits in September 2020 and in December 2020 ESD sent me an overpayment notice for $12,000. I don’t know why I received this, but I believe this to be an error. I am still receiving collection statements, but I have no income and am not able to pay it back. Since I lost my job and then lost unemployment it is very stressful for me. My savings are all gone and soon I’ll be homeless because I’m unable to pay bills.”

Kristen B., Seattle

“I first applied for unemployment when I was a design consultant in 2018. My benefits ran out in December of that year, then I applied for Training benefits and was approved in June 2019 and exhausted those benefits in November 2019. I had no work or benefits and then COVID hit. I reapplied for benefits in February 2020 because they were providing Covid emergency extensions based on my original claim back in 2018.  ESD signed me up for the PUE and PUA and I received those benefits from late February 2020 through September 2021. 

In September 2021 ESD said I owe $2,100 for 4 weeks in January 2021 because I was in the wrong program. They had signed me up for PUA and now they were saying I did not qualify for those 4 weeks of PUA. I don't understand at all. I have called ESD several times to try to get answers and emailed them twice asking why this happened, and they only referred me back to the letter. No help at all. I am still unemployed and have exhausted benefits as of September 2021. I don’t receive collection letters, but I have a notice on my account stating I owe ESD money. I am living on savings and I am constantly worried my money will be taken.”

Maurice M., Federal Way

“I was a cook at Fred Hutch Cancer Center when I became unemployed. I applied for benefits in March 2020 and received an overpayment notice in June 2021 for $9,184. ESD said they overpaid me because I was working when I was not, at all. I have called ESD several times to try to get answers. I only claimed when I was not working. This was the first time I’ve ever had to use it.

I am still receiving regular collection statements and I now have more stress than ever.”

L.G., Quincy

“I worked at the ProClub front desk when I was furloughed at the start of the pandemic. I applied for unemployment benefits in March 2020 and was switched from PEUC to standard Unemployment benefits although I was eligible. My benefits abruptly stopped for over a month in summer 2020 due to state getting funds stolen, then I was hit with an overpayment notice of $7,900 in November 2020. I was fortunate to document thoroughly everything, and my employer during Covid who furloughed us sent a supportive letter. Plus, I had gotten a state representative involved. I filed an appeal but never had a formal hearing. I was instructed to file under a new record they created, and somehow my overpayment was overturned.

The state of Washington has impacted so many people. I was part of support groups that also had their payments stopped in summer 2020. I was fortunate my support network helped me, but I feel really sad for the many who were deeply impacted emotionally and financially.”

Tracey S., Seattle

“At the beginning of the pandemic I was a part-time salon owner and part-time tutor at a state college. I applied for unemployment around May 2020 and waited months to get benefits and several months more to get the retroactive pay. I could NEVER get anyone on the phone, such a hassle for so little money (I lost A LOT more money from my shuttered business than I received from unemployment.)

In September 2021, ESD sent me a confusing letter saying if I wanted to continue benefit payments I would have to send them more proof of my need for benefits. I had stopped getting payments in July, so I didn't understand why they were sending me this letter. I thought it was an error—which had happened before—and ignored the letter. Then they sent another letter for an overpayment of $500. I emailed them saying they made an error, that their letter was confusing, that they'd made errors before, and that I didn't think I owed them for an "overpayment."

I am still receiving regular collection statements, and I’m nervous they will garnish wages. I am still not working full time, so I can't afford that. It is ridiculous. They have handled this poorly from the beginning of the pandemic shutdown. I didn't get benefits for months because of the fraud investigation. It's too much.”

Lisa L., Tacoma

“I worked in IT when I first applied for unemployment insurance in April 2019. Over a year later in December 2021 I received an overpayment notice for $235. I had been switched from Unemployment Insurance to PUA and ESD said I had worked a week that I received benefits, but all records are erased. I have called ESD several times to try to get answers, I filed a waiver request, and I filed an appeal. I am still receiving regular collection statements and am dealing with stress on top of inflation. Currently, I have negative $25 in checking to avoid fines from ESD.”

Matthew, Spokane

“I work in the construction field and so am usually off 4-5 months a year, every year.

When I went on unemployment in January 2020, it took several weeks to start receiving UI payments, but it definitely helped that I was already established in the system from the years before. I haven’t received benefits since March 2021, but I received an overpayment notice for $637 in August 2021. The state was claiming I fraudulently applied for PUA benefits. I only used $637 but the state claimed my work history was odd.

I filed both an appeal and waiver request. For the first few months after I had submitted my appeal I was concerned about having pay garnished, but this far out I figured the state had accepted the appeal. I never received a final determination. It’s hard to describe in words the feeling of foreboding dread in the face of uncertainty.”

Holden S., Whidbey Island

“In March 2020 I left my job as a server and gave my two weeks due to reduction in hours and pay. A year later, I received an overpayment notice for $5,500 because my employer says I quit without notice. I filed an appeal and contacted my state representative, but I’m still waiting to hear back on my appeal. I’ve been receiving regular collection statements and ESD garnished $1,400 from my tax refund. I no longer receive benefits since I went back to work as a server, but I have no money to find a house or pay for daily expenses.”

Conlan V., Cheney

“I first applied for unemployment benefits in April 2020 when I was a research intern who became unemployed. ESD sent me an overpayment notice in January 2021 for $235 because of a change that happened in their own system. They told me that Washington changed to a “low” Extended Benefits period for the week that I filed a claim and that I shouldn’t have been eligible when they paid me. ESD told me not to do anything about it until they contact me.

I stopped receiving benefits in September 2021 and now I’m back to work as a high school cook/baker. Constantly wondering if and when I have to pay the overpayment has been the hardest. I just want ESD to tell me if I have to pay this overpayment or not, it's been over a year and I've barely heard anything from them about it.”

Barbie Q., Shelton

“I was a line cook when the pandemic began and I applied for unemployment benefits. I never received my payments. Someone stole my unemployment and I never got paid. In October 2021 ESD sent me an overpayment notice for $500. Now I have to pay back money I never received. 

ESD has never responded to my crisis and it just reinforced the fact I will never receive any help. I paid into the system only to be taken from. I’ve lost my house because of this and nobody cares.”