EUGENE, Ore. — On Sunday, David Gerstenfeld accepted an unenviable job: director of the state’s beleaguered employment agency.
The Oregon Employment Department has failed to get timely payments — and clear information about benefits — to thousands of Oregonians out of work because of the coronavirus pandemic.
On Sunday, Gov. Kate Brown asked Director Kay Erickson to resign, appointing Gerstenfeld as interim director.
In a call with reporters Wednesday, Gerstenfeld apologized for the department’s missteps and committed to being more transparent with Oregonians.
“To those who have not yet received their benefits, I want to apologize,” Gerstenfeld said. “I am very sorry. I know you’re frustrated and anxious and that many of you have been unable to reach us or to get the answers and assistance that you need. While none of us caused the pandemic, it is my responsibility to ensure we get people the benefits they are entitled to.”
The agency has hired more people to handle the onslaught of claims and is focusing on processing the oldest claims for benefits.
At the outset of the pandemic, 100 workers were processing claims; now 700 are dedicated to that task.
And since starting a renewed effort to clear a backlog of claims Friday, workers have processed about 16,000 of the 38,000 unresolved claims for regular unemployment insurance benefits, the agency says.
As of last week, about 245,000 Oregonians had been paid benefits, but there are still thousands of claims that haven’t been processed and people still waiting for money.
Gerstenfeld said he wasn’t able to provide an up-to-date figure of how many people have been paid their benefits, although he said the state has paid out about $1.5 billion to out of work Oregonians in the past two months.
The high volume of applicants and federal policy changes that were meant to expand benefits have overwhelmed the agency’s phone lines and outdated computer system.
Many Oregonians calling the agency with questions about their claims have been met with busy signals; those who can get through often face long hold times. In April, some people were erroneously told to restart their claims. Others have received confusing or vague letters from the agency.
And the agency hasn’t been able to put into action an effort by policymakers to get another week of benefits to Oregonians by waiving the typical weeklong waiting period.
Asked what he’d be doing to ensure that the leadership change isn’t just surface-level, Gerstenfeld said that he was “dedicated” to improving communication.
He said he wanted to be clear about what the agency’s problems are and that the agency wants to recruit volunteers from other government agencies to call people whose claims haven’t been processed yet. He said the agency is speaking with the National Guard about the possibility of getting guard members to help with claims, too.
Prior to becoming interim director, Gerstenfeld ran the agency’s division overseeing paid family and medical leave insurance.
And from 2011 to 2019, Gerstenfeld ran the division of the agency overseeing unemployment insurance. His time there coincided with the Oregon’s long recovery from the Great Recession, and what at the time were “historic high workloads” and a series of new federal programs and changes, he said.
