Employment Development Department: recession plan.

Existing law creates, in the Labor and Workforce Development Agency, the Employment Development Department, which is vested with the duties, purposes, responsibilities, and jurisdiction with respect to job creation activities. The department is authorized to study and make recommendations as to actions that might tend to do several things, including, but not limited to, promoting the prevention of unemployment and the stabilization of employment, reducing and preventing unemployment, and establishing the most effective methods of providing economic security through all forms of social insurance. This bill would require the department to develop and, upon appropriation by the Legislature, implement a recession plan to prepare for an increase in unemployment insurance compensation benefits claims due to an economic recession. The bill would require the plan to detail how to respond to economic downturns with a predetermined strategy that has considered the full effect on the department's operations, and include, but not be limited to, identifying the lessons learned from previous economic downturns, identifying ways to improve self-serve services to avoid long wait times to speak to staff, and enhancing claims processing tools to ensure that the department's identity verification processes are as robust as possible. The bill would require the department to provide a copy of the recession plan to specified legislative committees and the Department of Finance by March 1, 2022, and to update the recession plan and provide a copy to specified legislative committees and the Department of Finance every 2nd year thereafter.