UI Benefits Go Paperless

Governor Dannel P. Malloy has announced that the state Department of Labor (DOL) has gone to a new paperless direct deposit system for unemployment benefits, a switch that will save the state approximately $300,000 a month on printing and mailing costs. The governor said the move is the type of change he would like to carry across all state departments as he continues looking for ways to reduce costs.

During the month of January, the DOL began asking claimants to select one of two electronic payment methods, either direct deposit to a bank account or a debit card. When the system launched in the first week of February, more than $45 million in electronic payments were made. Approximately 70% of recipients chose direct deposit, while the remaining 30% selected the debit card.

Previously, more than 140,000 checks were being printed and mailed each week, an expenditure the state no longer has to pay.

The DOL has launched a special website, www.NoPaperChecksCT.com, to provide instructions on the new DirectBenefits program, as well as frequently asked questions, a fee schedule, and a link to the agency’s unemployment insurance site for enrollment. Questions can also be directed to dol.directbenefits@ct.gov.