State Employee Overtime Costs Up 4.4% in Third Quarter

Connecticut state employee overtime costs increased 4.4% in the third quarter, with agencies on pace to spend a record $308.7 million this fiscal year.

The latest quarterly report from the legislature’s Office of Fiscal Analysis shows agencies spent $231.5 million on overtime payments through March 31, $9.7 million more than the same period last year.

Agency overtime spending has significant implications for taxpayers as it is one of the factors used for calculating state employee pensions.

Failure to control costs places additional pressure on the state’s long-term liabilities burden, one of the highest per capita in the country.

Overtime costs hit a 10-year low in 2017, following passage of legislation requiring quarterly disclosures of agency spending.

However, costs climbed in subsequent years—in fiscal 2024, agency overtime spending was $96.9 million (47%) higher than 2017 levels.

Six-Figure Payouts

The number of state employees paid overtime through the third quarter of 2025 decreased by 132 (0.8%) to 16,012, with the average payment up 5.3% to $14,461.

In fiscal 2024, average per-employee overtime payouts increased 8.6% over 2023 to $17,682—51% more than in 2017.

Four retired state workers were each paid pensions of more than $300,000 in 2024, while 3,244 retirees were paid more than $100,000 each the previous year.

Forty-seven Department of Correction employees took home over $100,000 each in overtime last year, with one paid $207,111. That employee collected over $1.13 million in overtime from 2020 to 2024.

The 2021 CREATES report commissioned by the legislature identified overtime and workers’ compensation reforms totaling $70 million to $100 million in annual taxpayer savings.

State lawmakers are currently reviewing legislation that prohibits overtime from being used in pension calculations, along with a separate bill that caps pensions at $150,000 per year.

Top Five Agencies

Department	FY 2025 Overtime*	FY 2024 Overtime**	$ Difference	% Difference
Correction	$85.3 million	$78.9 million	$6.3 million	8%
Mental Health & Addiction Services	$46.5 million	$46 million	$542,778	1.2%
Emergency Services & Public Protection	$35.3 million	$32.5 million	$2.8 million	8.6%
Developmental Services	$31.5 million	$31.2 million	$280,113	0.9%
Children & Families	$21.3 million	$18.4 million	$2.9 million	15.9%

*July 1, 2024-March 31, 2025. **July 1, 2023-March 31, 2024. Source: Office of Fiscal Analysis.

Through the first three quarters of fiscal 2025, costs increased $13.1 million (6.3%) at the five state agencies responsible for more than 95% of all overtime spending.

DOC accounted for 37% of all agency overtime, spending $85.3 million, up 6.3% from the same period in 2024.

DOC’s annual overtime costs have increased 73% since 2017, while the state’s prison population has declined 22% over the same time.

DOC’s annual overtime costs have increased 73% since 2017, while the state’s prison population has declined 22%.

The Department of Mental Health and Addiction Services spent $46.5 million through March 31, up 1.2% from the same period the previous year.

The Department of Emergency Services and Public Protection posted a $2.8 million increase (8.6%) and the Department of Developmental Services saw costs rise 0.9%.

Overtime spending jumped 15.9% through the third quarter to $21.3 million at the Department of Children and Families.

Other Agencies

Overtime spending at all other state agencies fell $3.4 million to $11.3 million (-23%) through March 31.

The Department of Social Services accounted for more than 60% of that decline, with agency costs falling $2.1 million to $2.7 million.

Overtime costs declined $737,094 (-57.4%) at the Connecticut Technical Education and Career System and fell $337,266 (-19.3%) at the Judiciary Department.

Lawmakers have a solution to the overtime problem in their hands that saves taxpayers $70M-$100M annually. Legislation implementing CREATES Report reforms, including modernizing workplace practices and overtime and oversight, requires action this session. https://t.co/Jy6pVS4Orl

— Chris DiPentima (@ChrisDipentima) March 24, 2025

The Department of Energy and Environmental Protection spent $1.7 million through the first three quarters, up 31%.

DESPP employees were paid an average $27,268 in the first three quarters of fiscal 2025—the highest of any agency—an increase of $2,078 (7.6%).

DMHAS overtime payouts averaged $20,201 (-0.4%), followed by DOC ($17,984; 11.3%), DDS ($17,321; -3.9%), the Office of Legislative Management ($9,746; -0.03%), and DCF ($8,956; 17.1%).