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A welder works atop a high perch in Tigard, Ore., Thursday, April 5, 2007.   Newly laid-off workers signed up for unemployment benefits at a faster pace last week as companies try to cope with sluggish growth in the national economy. The Labor Department reported Thursday that new applications filed for jobless benefits rose by a seasonally adjusted 11,000, to 321,000, for the work week ending March 31.
A welder works atop a high perch in Tigard, Ore., Thursday, April 5, 2007. Newly laid-off workers signed up for unemployment benefits at a faster pace last week as companies try to cope with sluggish growth in the national economy. The Labor Department reported Thursday that new applications filed for jobless benefits rose by a seasonally adjusted 11,000, to 321,000, for the work week ending March 31.
DENVER, CO - NOVEMBER 8:  Aldo Svaldi - Staff portraits at the Denver Post studio.  (Photo by Eric Lutzens/The Denver Post)
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Rising claims and a huge volume of calls are stressing the state’s unemployment-insurance system.

Wait times for people calling with unemployment-insurance questions are averaging about an hour, said Mike Cullen, director of the state’s unemployment-insurance program.

On Tuesday, wait times were more like 75 minutes, and many callers received busy signals after the center’s 120 lines filled up.

“I would ask everyone to be patient,” Cullen said. “See if there isn’t some other way to get your question answered.”

Many calls involve questions already answered in a manual mailed to recipients or online, Cullen said.

Also, basic functions such as checking account balances and changing a PIN can be done online or through an automated phone system.

Tuesday was especially busy because Labor Day fell on Sept. 1, a day many recipients expected to receive a benefit payment.

The holiday prevented JPMorgan Chase from transferring money into accounts until Tuesday.

Colorado’s unemployment rate stood at 5.2 percent in July, up from 4.2 percent in January. About 40,000 more people are unemployed in the state than were last summer.

But the biggest strain on the system has come from the federal government’s extension of unemployment benefits for an additional 13 weeks.

More than 120,000 people in the state were identified as potentially eligible, and about 25,000 people applied for extended benefits in July and August.

The number of unemployment- insurance claims filed during the four weeks that ended Aug. 16 ran about 140 percent above the levels seen last year, Cullen said.

The department added 10 additional temporary workers to take calls beyond its 25 regular staff members. Another 17 trainees are taking calls part time.

Another 40 to 50 employees who verify the validity of benefit applications are also working the phones in the morning. But if they spend too much time on phones, that means delays in approving claims, Cullen said.

Cullen said he has 50 to 60 staff members who are working 10 to 20 hours of overtime a week but that they are starting to burn out.

And with an employment picture that looks like it will get worse before it gets better, the situation may not improve soon.

“I have a budget to live within,” Cullen said. “We are looking at how long do we expect this to go on.”

Aldo Svaldi: 303-954-1410 or asvaldi@denverpost.com

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