On September 30, 2025, the Delaware Department of Labor announced Modernization 2.0, a new strategy to address the agency’s most pressing challenges, including processing a backlog of unemployment insurance claims, responding faster to new claims, and ensuring the timely launch of Paid Family and Medical Leave.

A cornerstone of this effort is a new partnership with Google AI, which will implement an unemployment insurance adjudication workflow designed to improve claimant support, streamline navigation, and unify multiple systems on a single platform. This creates a more scalable and sustainable model for the future. This partnership will allow the current modernization vendor, Infosys, to work solely on the implementation of Paid Family and Medical Leave to meet the January 2026 launch.

Tackling the UI Claims Backlog

Currently, more than 6,500 unemployment claims remain pending, some dating back to February 2025. To address this backlog, known internally as “Mission Backlog,” DOL has taken the following steps:

• Partnering with Google AI and delivery partner Egen to build an interim process that consolidates claim information into a single system.
• Deploying Google’s Adjudication Assistant, a GenAI solution, to accelerate claim reviews.
• Hiring 25 seasonal employees through the Code Differently program to support backlog reduction.

This combined effort is projected to clear the backlog within 18 to 22 weeks, with completion expected in early 2026.

Paid Family and Medical Leave Update

Delawareans will be able to take part in the much anticipated Paid Family and Medical Leave program beginning January 1, 2026.  They will be able to:

• File claims online.
• Process certifications electronically.
• Receive employer determinations.
• Obtain benefit payments automatically.

Monthly updates will further enhance speed, usability, and overall user experience.

A Stronger, More Responsive DOL

“This is a pivotal moment for the Department of Labor,” said Department of Labor Secretary LaKresha Moultrie. “By tackling long-standing UI challenges and ensuring the successful launch of Paid Family and Medical Leave, we are delivering on our commitment to modernize our systems and improve services for Delaware workers.”

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Delaware Department of Labor Announces Significant Progress in Reducing the Unemployment Claims Backlog

December 31, 2025

WILMINGTON, Del. — The Delaware Department of Labor announced today it has made significant progress in decreasing the state’s unemployment claims backlog following a refocus on service delivery, compliance, and fiscal management.

The Delaware Department of Labor’s Unemployment Division enhanced operational efficiency through continued development of the Claimant 360 and IQ Fraud dashboards, the launch of a centralized document knowledgebase, and the introduction of new productivity tools. These advancements strengthened decision making and streamlined workflows across teams.

The program also secured Reemployment Services and Eligibility Assessment (RESEA) federal grant funding to support enhanced claimant engagement, improved reemployment outcomes, and ongoing process improvements. A successful transition to new case management processes stabilized operations and reduced a backlog of cases by more than 40 percent – from over 7,000 to fewer than 4,000.

By shifting adjudicators from call handling to focused claim processing, the program increased throughput and productivity while improving service quality. A sustainable training framework was established, including structured onboarding, classroom instruction, and adjudication training. Additional staffing initiatives, including onboarding the “Mission Backlog” team, further strengthened operational capacity.

“Reducing open claims by thousands while updating our processes and retraining staff reflects the dedication and focus of our team,” said Delaware Secretary of Labor LaKresha Moultrie. “This progress means claimants receive decisions faster, staff can work more efficiently, and the program is stronger and more resilient. We will continue to improve upon this progress in 2026.”

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