An employee who has been a victim of identity theft will still be able to file for and collect unemployment benefits. The state will remove the fraudulent case from the record once a claim is determined to be fraudulent.
However, some states will put a hold or lock on the employee’s account to protect them from future fraudulent activity. In these cases, the employee may have to start the claim process with their state’s fraud unit so that their claim can be unlocked. We have found that this often helps speed up the process and jumps them “ahead” in the line.