News

PA ending computer system contract with IBM

Written by The Associated Press | Jul 31, 2013 1:33 PM
Thumbnail image for typing laptop computer

(Harrisburg) -- The state Department of Labor and Industry is ending a multi-year contract with IBM to modernize Pennsylvania's unemployment compensation computer system after dedicating close to $170 million to the project.

Labor and Industry Secretary Julia Hearthway says the seven-year-old project is 42 months behind schedule and $60 million over budget. She says it has problems that cannot be solved.

The original contract was for $106.9 million in 2006 and it expires September 30th after no-cost extensions were allowed to assess the program. It was designed to calculate and provide unemployment compensation benefit payments in Pennsylvania.

Carnegie Mellon University's Software Engineering Institute says it identified numerous problems with the design and implementation of the system. Its study was commissioned by the department last year.

Published in News

Tagged under , , , , ,

back to top

Post a comment

Support for witf is provided by:

Become a witf sponsor today »

witf's Public Insight Network

National Edward R. Murrow Awards

DuPont Columbia Awards

Support Local Journalism

Latest News from NPR

Support for witf is provided by:

Become a witf sponsor today »