Effective October 1, 2019 Enhanced
Fraud Penalties Will Apply!
Claiming Unemployment Insurance (UI) benefits based
on providing false, misreported, or unreported infor-
mation to the Arkansas Division of Workforce Services
(ADWS) is considered UI fraud. If you deliberately make
a false statement or withhold information to receive ben-
efits, you are committing an act of fraud. Below are
changes to the law that will be enforced:
Unemployment Law Changes For 2019
The disqualification period for individuals filing an
initial claim under false pretense will increase from
10 weeks to 20 weeks and potential benefits will be
reduced to zero.
The application of the fraud disqualification period
will increase from 2 ½ years to 5 years.
All fraudulently obtained benefits, including penal-
ties and interest must be repaid prior to receiving
any future unemployment benefits.
The fraud penalty is increasing from 15% to 50%.
Is Severance Pay
Reportable ?
Act 453 states that even a partial
payment of separation or sever-
ance pay shall be treated as a
full week of separation pay. Ben-
efits are not paid for weeks of
separation pay. Failure to report
separation pay when filing a
claim can result in a determina-
tion of fraud and ensuing penal-
ties will apply.
Arkansas Division of
Workforce Services