News Summary
Since the launch of the new unemployment system ‘Cactus’ by the Arizona Department of Economic Security, residents are facing significant delays in receiving their benefits. Many individuals, like Jamil Clark from Phoenix, have reported long wait times and poor communication with the agency. Economic hardship is growing, raising concerns about homelessness. Recent staffing changes at DES are believed to exacerbate the situation, highlighting the challenges faced by agencies adapting to new systems. Despite some success, the ongoing issues underscore the need for improved support for the state’s unemployed workforce.
Arizona residents are experiencing unprecedented delays in obtaining unemployment benefits following the rollout of a new online system by the Arizona Department of Economic Security (DES). The new system, known as “Cactus,” launched on September 7, 2023, with promises of improved access to employment services. However, many users have reported complications that have hindered their ability to timely receive benefits.
Individuals like Jamil Clark, a Phoenix resident, filed for unemployment prior to the system’s launch on September 4, 2023, but has yet to receive any benefits. Clark has faced challenges in communicating with DES, citing a scarcity of human assistance available via phone. In-person assistance has also proven problematic, with long wait times reported at local DES offices. For example, a wait time of four hours was recorded by residents seeking help on October 15, 2023.
Another resident, Eric from Tempe, expressed concern that ongoing delays in benefits could result in severe financial hardship and even homelessness. Despite a steady number of new claims being filed, data from the DES dashboard indicates an average decline of several hundred dollars in weekly payouts, signifying operational difficulties within the agency.
Recent staffing changes at DES, particularly the layoff of 500 employees earlier this year, are believed to be contributing factors to the processing delays. Beyond unemployment benefits, some residents have experienced challenges related to food stamps and other services managed by DES, suggesting that organizational issues extend beyond just the unemployment insurance system.
Despite these reports of difficulties, DES has stated that the Cactus system offers enhanced features aimed at facilitating user experience, such as 24/7 access, better communication options, and a more straightforward navigation process for claimants. Data shows that within the first three weeks of the new system, over 90,000 claims were filed, and nearly $20 million in benefits were disbursed, indicating that a significant number of users successfully navigate the system without issues.
DES has also recognized problems with a limited group of claimants who have resolved overpayment-related balances but have not yet received subsequent payments. Officials indicated that some claims necessitate a more in-depth, case-by-case review, which may elongate payment timelines while waiting for eligibility verification.
Residents attempting to track the status of their claims have voiced frustration over the extended processing times and a noticeable lack of clear communication from the DES. This situation poses serious economic implications, as many individuals rely on timely unemployment benefits for financial stability following job loss. Delays in these payments could adversely affect the well-being of numerous families.
The current ordeal underscores the challenges faced by state agencies in adapting to new systems and the importance of providing adequate support to residents who depend on crucial services for their livelihood. With many still navigating the complexities of the Cactus system, the Arizona Department of Economic Security faces pressure to ensure that its operations meet the needs of the state’s unemployed workforce.
Deeper Dive: News & Info About This Topic
- Fox 10 Phoenix: Arizona Residents Claim System Switch Halts Unemployment Benefits
- Wikipedia: Unemployment Benefits
- AZ Central: How Arizona Economy is Performing
- Google Search: Arizona Unemployment Benefits
- The Center Square: Arizona Unemployment Issues
- Google Scholar: Unemployment Benefits Arizona
- AZ Family: Counties with Highest Unemployment in Arizona
- Encyclopedia Britannica: Unemployment
- Axios: Arizona Job Loss and Unemployment Rate Increase
- Google News: Arizona Unemployment System Issues
Author: STAFF HERE PHOENIX WRITER
The PHOENIX STAFF WRITER represents the experienced team at HEREPhoenix.com, your go-to source for actionable local news and information in Phoenix, Maricopa County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Waste Management Phoenix Open, Cactus League Spring Training, and Arizona State Fair. Our coverage extends to key organizations like the Greater Phoenix Chamber of Commerce and Visit Phoenix, plus leading businesses in technology and healthcare that power the local economy such as Intel and Banner Health. As part of the broader HERE network, including HERETucson.com, we provide comprehensive, credible insights into Arizona's dynamic landscape.
