President Donald Trump’s appointee to run the Department of Labor is taking back money states should have finished spending years ago.
Labor Secretary Lori Chavez-DeRemer said that she has recovered $1.4 billion in unused funding that states were holding onto from pandemic-era programs, according to a news release posted on the Labor Department’s website.
Chavez-DeRemer said she’s not done putting cash into the Department of Treasury’s general fund. The release said that there is “action being taken to recover” another $2.9 billion.
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As the pandemic erupted, the federal government provided billions in emergency unemployment assistance. Not all the money was spent by states during the time of mass layoffs and COVID-19 restrictions, but they held onto it anyway.
Although a 2023 audit uncovered the fact
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