Stay up to date with notifications from The IndependentNotifications can be managed in browser preferences.Jump to contentThank you for registeringPlease refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged inAllNewsSportCultureLifestyleDonald Trump’s administration is threatening to withdraw federal funding for unemployment assistance across all 50 states and territories as part of the president’s nationwide campaign against “fraud” in government spending.Acting Labor Secretary Keith Sonderling issued a warning to governors, stating the government would use “every available tool” to combat “waste, fraud and abuse” within state-run unemployment insurance programs, including “withholding administrative funds from states” for the first time in history.This action is part of a broader campaign against perceived fraud in government spending, spearheaded by Vice President JD Vance's Task Force to Eliminate Fraud. Critics, including advocacy groups and Democratic senators, contend that this initiative is a politically motivated effort to reduce social services rather than genuinely address fraud. The administration has previously withheld federal funding for Medicaid and threatened to cut support for other programs, such as the Supplemental Nutrition Assistance Program (SNAP). In fullTrump threatens to pull unemployment benefits from all states for the first time in historyThank you for registeringPlease refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in

The Department of Labor is threatening to withhold state funds from governors if further action isn't taken against unemployment fraud.

Keith Sonderling, acting head of the agency, threatens to withhold administrative funds from states for first time in history