Technical error delays unemployment benefits for thousands of Coloradans

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DENVER (KDVR) — The Colorado Department of Labor and Employment confirmed Wednesday a technical glitch caused a delay in unemployment benefits for thousands of people in Colorado. This is the second glitch of its kind since the COVID-19 crisis began, according to a department spokesperson.

“The overall issue here is the sustained pressure on the entire system,” said Cher Haavind with the CDLE.

Haavind says the error was due to an unsuccessful file transfer to the bank.

Those affected had requested benefit payments Sunday and were expecting them within the department’s three-day window. Haavind says they learned of the error Wednesday morning and notified recipients through email.

“Some of the processes, like file transfers to the bank, are being tested like never before. This is one of those instances where it was a technical failure with the file transfer and as soon as we discovered it, we were able to correct it,” said Haavind.

Haavind says the payments are expected to be made sometime Thursday for a majority of those impacted.

“I didn’t know if I had done something wrong,” said Gary De Leon, one of the thousands who was expecting benefit payments Wednesday.

De Leon says he did not hear from the Department of Labor and Employment until late in the day Wednesday. He says he’s relying on the benefits to pay rent this week.

“I’m hoping just as a stress reliever to have those funds in there. It’s just scary and we’re all going through it,” said De Leon.

Haavind says they are working to handle the increased claim volume and to prevent future incidents. She says that involves more active communication with the bank, redundancy in staff and IT support, and early notifications.

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