Senate Democrats Advance Biden Labor Nominee Who Presided Over Massive Fraud
California’s Labor Chief Heads for Full Senate Vote to Lead Labor Department
Julie Su, who oversaw a staggering $31 billion in fraud during her time as California’s labor chief, is now up for a full Senate vote to lead President Joe Biden’s Labor Department.
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Controversial Nominee for Labor Secretary Clears Senate Committee
The Senate workforce committee in charge of vetting her qualifications for the post narrowly cleared her nomination for Senate approval on Wednesday, voting 11-10 along party lines.
The committee’s vote tees up a contentious vote on the Senate floor that is by no means certain to go Biden’s way. A handful of Democratic moderates, including Sens. Joe Manchin (W.Va.), Jon Tester (Mont.), Mark Kelly (Ariz.), and Kyrsten Sinema (Ariz.), have yet to commit to supporting her.
Su, who currently serves as deputy secretary of labor, has been dogged by her California record since Biden nominated her for the post in February. During her time overseeing California’s Employment Development Department during the state’s pandemic lockdowns, Su froze checks on unemployment claims and failed to stop payment to suspicious accounts, leading to an estimated $31 billion in fraudulent payouts.
California’s Unemployment Fund in $20 Billion Hole
The state of California is facing a massive $20 billion deficit in its unemployment insurance fund. This is a major concern for the state’s workforce, as it could lead to cuts in benefits and increased taxes for employers.
Julie Su’s Record as a Union Ally
Julie Su, who worked to implement California’s Assembly Bill 5, has been praised by Senate workforce committee chair Bernie Sanders for her support of raising the minimum wage and her record as a staunch union ally. However, Republican ranking member Bill Cassidy has questioned her competence and ability to manage a department properly, citing fraud that occurred under her watch and her lack of experience with complex negotiations.
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California
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Fraud
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Labor Department
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