State Agency Overtime Hits Record $338M

Connecticut state agencies spent a record $337.9 million on employee overtime in fiscal 2026—$21.8 million or 6.4% more than the previous high set in 2025.

The latest report from the legislature’s nonpartisan Office of Fiscal Analysis shows overtime costs hit $88.8 million in the fourth quarter alone.

While the number of employees collecting overtime increased by just 28 to 16,677 (0.2%), the average payout jumped $1,277 (6.7%) to $20,263.

Overtime spending has significant implications for Connecticut taxpayers as it is among 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.

Affordability Crisis

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

However, annual spending has increased by $133.5 million—over 65%—in the following nine years.

CBIA president and CEO Chris DiPentima called the failure to control soaring overtime costs “a disservice to taxpayers, who deserve better.”

“It’s double jeopardy—taxpayers pay now and then get hit again when overtime costs drive up overall state employee retirement liabilities,” he said.

“We’ve got a major affordability crisis in Connecticut, with opinion poll after opinion poll showing that the state’s high cost of living is the top concern for residents of all political stripes and persuasion.

“Too many working families say the cost of housing, healthcare, energy, and childcare makes it harder every year to make Connecticut work for them. 

“State spending is increasing exponentially—and overtime is a driver—and must be brought under control if we’re going to successfully bring down the high cost of living.

“State lawmakers are sitting on a package of spending reforms that would cut annual overtime costs by $70 million to $80 million and generate overall savings of almost $1 billion annually.”

Overtime Spending: Top Five Agencies

Department	FY 2026 Overtime	FY 2025 Overtime	$ Difference	% Difference
Correction	$125.9 million	$118.8 million	$7.1 million	6%
Mental Health & Addiction Services	$65 million	$62.9 million	$2.1 million	3.3%
Emergency Services & Public Protection	$53.9 million	$45.9 million	$8 million	17.2%
Developmental Services	$42.5 million	$42.6 million	($86,719)	-0.2%
Children & Families	$35.05 million	$30.3 million	$4.8 million	15.7%

Source: Office of Fiscal Analysis.

Fiscal 2026 costs jumped $21.7 million (7.2%) over the the previous year at the five state agencies that are responsible for more than 95% of all overtime spending.

The Department of Correction accounted for 37% of all agency spending in 2026, paying out $125.9 million, with 4,947 employees—121 more than the previous year—collecting overtime.

DOC’s annual overtime costs represent approximately 22% of the agency’s total payroll and have increased $63.8 million (102.9%) since 2017, while the state’s prison population has declined 24.9% over the same time.

In calendar 2025, 73 DOC employees each collected over $100,000 in overtime, with one paid $299,980—the largest single payout of any state employee—more than double their annual salary.

DOC’s annual overtime costs represent approximately 22% of the agency’s total payroll.

Since 2019, that same employee has collected $1.6 million in overtime.

The Department of Mental Health and Addiction Services spent $65 million on overtime in fiscal 2026, up 3.3% from the previous year.

Costs rose $8 million (17.2%) to $53.9 million at the Department of Emergency Services and Public Protection.

Overtime spending fell 0.2% to $42.5 million at the Department of Development Services and rose 15.7% to $35.05 million at the Department of Children and Families.

Other Agencies

Overtime spending at all other state agencies increased $61,236 (0.4%) in fiscal 2026.

The Judicial Department saw the biggest increase, with costs rising $370,946 (19.4%) to $2.3 million in fiscal 2026.

Overtime rose 21.4% to $789,101 at the Connecticut Technical Education and Career System and by 5.7% to $2.4 million at the Department of Veterans Affairs.

More than 265 state employees collected over $100,000 in overtime.

The Department of Energy and Environmental Protection posted the biggest decline, with costs falling $291,170 (-13.2%) to $1.9 million.

Overall, more than 265 state employees collected over $100,000 in overtime last year.

DESPP employees collected an average $44,090—the highest of any agency—followed by DMHAS ($26,323), DOC ($25,454), DDS ($23,960), and DCF ($13,997).