State Overtime Spending on Record $316M Pace

Connecticut state agencies are on pace to spend a record $316 million on employee overtime in fiscal 2025, $12.6 million more than the previous high set in 2023.
The latest report from the legislature’s nonpartisan Office of Fiscal Analysis shows overtime totaled $158 million through the first half of fiscal 2025, up $6.7 million (4.4%) over the same period in 2024.
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.
‘Outdated’ Workplace Practices
The number of state employees paid overtime in the first half of fiscal 2025 increased by 70 to 15,234, with the average payment up 3.9% to $10,375.
In fiscal 2024, average per-employee overtime payouts increased 8.6% over 2023 to $17,682—51% more than in 2017.
CBIA’s Chris DiPentima said while the labor shortage impacts hiring at some state agencies and is a contributing overtime factor, policymakers must address outdated workplace practices.
He referenced the 2021 CREATES report commissioned by the legislature that identified reforms totaling $70 million to $100 million in annual taxpayer savings.
“Those commonsense recommendations include capping pensionable overtime, modernizing workforce management, improving hiring processes, and strengthening overtime oversight and workers’ compensation practices,” DiPentima said.
“It’s incredible that state overtime costs have soared almost 50% since 2017, particularly with real cost-saving solutions available—taxpayers deserve better.”
Top Five Agencies
Department | FY 2025 Overtime* | FY 2024 Overtime** | $ Difference | % Difference |
---|---|---|---|---|
Correction | $56.11 million | $53.25 million | $2.86 million | 5.4% |
Mental Health & Addiction Services | $31.07 million | $30.83 million | $235,826 | 0.8% |
Emergency Services & Public Protection | $27.28 million | $23.96 million | $3.32 million | 13.9% |
Developmental Services | $21.12 million | $20.95 million | $157,066 | 0.7% |
Children & Families | $14.22 million | $12.13 million | $2.09 million | 17.2% |
*July 1, 2024-Dec. 31, 2024. **July 1, 2023-Dec. 31, 2023. Source: Office of Fiscal Analysis.
Costs for the first six months of fiscal 2025 increased $8.7 million (6.1%) at the five state agencies responsible for more than 95% of all overtime spending.
The Department of Correction accounted for 36% of all agency overtime costs, spending $56.1 million, up 5.4% 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.
Since 2020, DOC has paid one employee over $1.14 million in overtime.
Forty-seven DOC employees were each paid more than $100,000 in overtime in fiscal 2024, with one employee paid $207,111. That employee collected over $1.13 million in overtime from 2020 to 2024.
The Department of Mental Health and Addiction Services spent $31.07 million through Dec. 31, up 0.8% from the same period the previous year.
The Department of Emergency Services and Public Protection posted a $3.32 million increase (13.9%) and the Department of Developmental Services saw costs rise 0.7%.
Overtime spending jumped 17.2% in the first six months of fiscal 2025 to $14.22 million at the Department of Children and Families.
Other Agencies
Overtime spending at all other state agencies fell $2.01 million to $8.26 million (-19.6%) through Dec. 31, 2024.
The Department of Social Services accounted for more than three-quarters of that decline, with agency costs falling $1.5 million to $2.96 million (-34%).
Overtime costs declined $559,916 (-65.5%) at the Connecticut Technical Education and Career System and fell $223,590 (-18.6%) at the Judiciary Department.
The Department of Energy and Environmental Protection spent $1.3 million, up 44.6% over the same period in 2024, with overtime rising 14.3% at the Department of Veterans Affairs.
DESPP employees were paid an average $23,398 in the first half of fiscal 2025—the highest of any agency—an increase of $1,535 (7%).
DMHAS overtime payouts averaged $14,450 (-6.3%), followed by DOC ($12,198; 6.7%), DDS ($11,960; -0.3%), and the Office of Legislative Management ($8,504; 22.3%).
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