South Carolina’s unemployment agency is laying off 100 employees in June as part of a statewide reorganization that directs anyone seeking jobless benefits to use its upgraded online system, the agency’s interim director announced Tuesday.
John Finan said the Department of Employment and Workforce will eliminate one-on-one help with unemployment claims June 10, and the number of local offices offering job training and other re-employment services will shrink. Exactly how many of those 56 offices remain open past June will depend on decisions made by the state’s 12 workforce investment boards, he said.
It comes two months after the ending of in-person unemployment help at 17 rural offices caused a backlash from legislators. Democrats particularly denounced the move as an attack on rural South Carolina, and the outrage culminated in the resignation of former Director Abraham Turner.
Finan said even that cut – as well as hiring and travel freezes – weren’t enough to offset the loss of federal money, which funds the agency’s operations. DEW’s declining workload – processing 50,000 claims filed weekly compared to nearly 140,000 in early 2011 – required a statewide restructuring that brings South Carolina in line with how most states already handle claims, he said.
“We were way out of touch with other states in the country. We’re coming up to modern times with technology,” Finan said.
He insists that the continued downsizing creates an opportunity to shift the agency’s focus.
“We’re trying to refocus from unemployment, which has been the mantra for the office, to re-employment,” Finan said. “We need to work on innovative things the state can do and locals can do to really put people to work.”
Affected workers will receive notices this week. The vast majority of layoffs will come from local offices.
But they won’t end there.
Automatic federal spending cuts call for the phasing out of an additional 29 weeks of federally paid unemployment benefits. By year’s end, laid off workers will be eligible only for the maximum of 20 weeks of benefits allowed under state law. When that program’s gone, the agency can’t continue to pay the workers who ran it, Finan said.
The combined cuts would bring the agency’s workforce to about 850.
That doesn’t include an unknown number of layoffs locally. The state’s 12 local workforce investment boards get money directly from the federal government to supply re-employment services, such as career counseling, workshops, skills testing, job referrals and help writing resumes. And those boards, which run the local offices and share the cost with the agency, also are getting less money.
The reorganization announcement follows more than a month of discussions with local officials on how to handle the declining revenue, Finan said.
An advocate for the poor said the agency’s moves will be devastating for the unemployed and their ability to find work.
“They’ve already done enough things to create barriers,” said Sue Berkowitz of Appleseed Legal Justice Center. It shows that “unemployed workers and the plight they’re going through is not a priority of this administration.”
House Democratic Leader Rep. Todd Rutherford, D-Columbia, said the agency “could not be more dysfunctional.”
“While some agency employees are being treated with sweetheart bonuses and lavish taxpayer-funded beach retreats, hundreds of other agency employees are losing their jobs, and thousands of South Carolinians are losing critical employment services,” he said in a statement. “Gov. Haley likes to take credit for jobs she didn’t create, but she is unwilling to take responsibility for the massive job losses in her own backyard. The people of South Carolina deserve better.”
While offices will close, Finan insists residents in all 46 counties will continue to have access to services. Statewide, 98 percent of initial claims already are filed online, according to the agency.
Each of the 12 areas will have at least one workforce center offering all re-employment services, as well as computer access and help with online claims filing. Local officials are choosing various ways to continue services throughout their region, from mobile units to satellite offices, he said.
The following 12 SC Works centers will remain open following a statewide restructuring of the state’s unemployment agency and its affiliated workforce development boards. It’s uncertain how many of the other 44 offices will remain open past June. Local officials are choosing various ways to continue services throughout their region, from mobile units to satellite offices.
8. North Charleston
SOURCE: SC Department of Employment and Workforce