2. News Room

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DWD Announces Advancements in Unemployment Insurance Modernization in
Collaboration with Google Public Sector

MADISON – Today, the Wisconsin Department of Workforce Development announced its collaboration with Google Public Sector to continue to accelerate improvements to its Unemployment Insurance (UI) system.

Together with Google Public Sector, DWD will transform its UI system to a modern, cloud-based platform. DWD’s existing, legacy system, based on 1970s era COBOL technology, will be reconstructed using Google Cloud technology to improve the unemployment insurance claim experience, accelerate code development, and deliver performance features that increase productivity for agency staff while better supporting the Wisconsin workforce. These changes align with the U.S. Department of Labor's (U.S. DOL) preferred strategy for states to modernize their UI systems and build on DWD’s digital transformation efforts.

"DWD is excited to work with Google Public Sector as a key partner in its progress to develop a UI system that reflects the priorities of its customers, provides cutting-edge tools to detect and protect against fraud, and allows for the flexibility to perform to scale in the face of future economic disruption or program introductions," said DWD Secretary Amy Pechacek. "Rapid advances in AI technology are bringing new opportunities to develop coding and performance features that will continue Wisconsin's leadership in UI customer service delivery. Google Public Sector brings an incredible combination of technical skill and UI program experience to help achieve this vision."

In addition to better serving UI claimants, the future UI system will feature a new employer portal to address technical limitations of the current system and expand opportunities for communication between employers and DWD. Developed by Google Public Sector, the modern employer portal will enhance efficiency for employers to complete tax and wage reporting, respond to UI claims verification requests, support appeal activities, and improve document sharing – all in a secure environment.

"Google Public Sector is proud to enhance our partnership with the Wisconsin Department of Workforce Development, a leader in implementing AI and advanced technology to improve citizen services," said Brent Mitchell, Vice President, Go-to-Market, Google Public Sector. "This transformation will not only streamline the unemployment insurance process, but also increase economic stability for families and individuals in need of critical assistance."

This collaboration builds on DWD’s ongoing partnership using Google Cloud Infrastructure to clear a backlog of claims that overwhelmed the outdated mainframe system at the peak of COVID-19. DWD’s AI tool eliminated the backlog in a matter of weeks, with human-in-the-loop methodology that allowed DWD staff members to further evaluate claims that did not appear to be eligible for payment. The approach achieved timely delivery of benefits to those in need.

DWD followed this success by embarking on a comprehensive approach to modernizing many of its customer service delivery functions. Among the successful modernization projects:

• Artificial Intelligence augmentation and fraud screen tool advancements;
• A cloud-based omni-channel contact center;
• Virtual customer service agents that are available 24 hours a day, 365 days a year, to answer common questions in English and Spanish;
• An online chatbot that can answer common questions in English, Spanish, and Hmong;
• Fraud detection through LexisNexis and National Association of State Workforce Agencies' Integrity Data Hub;
• An online filing process and document upload capability that uses AI to enter data instead of manual data entry;
• Secure online messaging with adjudicators;
• Translation of the UI application into plain language;
• A dashboard showing initial and weekly claims by county;
• An adjudication scheduler;
• ID Proofing;
• Knowledge base tool implementation; and
• Accessibility assessments.

DWD launched its comprehensive overhaul of the outdated COBOL-based UI system in September 2021 through a contract with Madison-based Flexion, which concluded in early July. With Flexion, DWD has established a secure cloud infrastructure, implemented additional security protocols, identified dependencies within the mainframe to avoid customer disruptions, and developed a benefits calculation engine that accounts for many of the complex rules associated with Wisconsin's UI eligibility requirements.

The department is now moving toward the build-out, integration, testing, and deployment of a fully modern UI system with Google Public Sector supported by federal funds from the American Rescue Plan Act (ARPA) through an engagement with government technology partner, Carahsoft. Through Carahsoft, DWD also is partnering with Google Public Sector to modernize the employer portal using U.S. DOL ARPA funds.

The UI system modernization and other modernization projects are being supported by a combination of federal funds, including $80,828,962 in ARPA State and Local Fiscal Recovery Funds, and $11,250,000 in ARPA funds through U.S. DOL's Unemployment Insurance Program Letter No. 11-23. DWD views modernization as an ongoing process that anticipates and nimbly adapts to changes in policy, technology, customer needs, staffing, and security.

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ABOUT DWD

Wisconsin's Department of Workforce Development efficiently delivers effective and inclusive services to meet Wisconsin's diverse workforce needs now and for the future. The department advocates for and invests in the protection and economic advancement of all Wisconsin workers, employers, and job seekers through six divisions – Employment and Training, Vocational Rehabilitation, Unemployment Insurance, Equal Rights, Worker's Compensation, and Administrative Services. To keep up with DWD announcements and information, sign up for news releases and follow us on LinkedIn, Facebook, Instagram, X, and YouTube.