HB 5609 Connecticut House · 2025 Regular Session

AN ACT CONCERNING RETIREMENT BENEFITS AND WORKERS' COMPENSATION BENEFITS.

HB 5609 requires municipalities and special taxing districts with defined benefit pension systems to calculate retirement benefits using the higher of two amounts: the employee's regular wages used for final average salary (FAS), or the workers' compensation temporary disability benefits received during the same period used to determine FAS. This applies to all current and future employees whose disability benefits exceed their regular wages during the FAS calculation period, effective July 1, 2025. The bill does not affect existing collective bargaining agreements and will increase pension costs for municipalities when disability benefits are higher than regular wages. It directly affects municipal pension systems and employees who received workers' compensation during their FAS period.

Issues: ✓ Labor & Employment

Bill status in committee 1 of 4 stages cleared

Introduction

Jan 2025

Committee Review

Floor Vote

Governor

Introduced Jan 21, 2025 Last action Apr 3, 2025

Maddy AI version diff · 2 comparisons

What changed between versions

Committee Bill → LAB Joint Favorable Substitute · 4 edits

MODERATE

The bill was amended to clarify that municipalities must use the higher of either the employee's final average salary or their workers' compensation disability benefits when calculating retirement pensions. This change ensures employees do not lose retirement benefits due to receiving disability payments, and it now explicitly protects existing collective bargaining agreements from being altered by this provision.

Scope change

The bill's scope was narrowed and clarified by adding the requirement that only 'defined benefit' pension systems are covered, and by explicitly protecting pre-existing collective bargaining agreements from being modified by this law.

DEFINITION

Added the term 'defined benefit' to specify which pension systems are subject to the new wage calculation rules.

REQUIREMENT

Added a requirement to use the greater of the final average salary or workers' compensation benefits when calculating retirement wages.

Added a provision protecting collective bargaining agreements in effect before July 1, 2025, from being altered by this act.

TECHNICAL

Changed the bill title from 'Committee Bill' to 'Substitute Bill' and updated the legislative committee designation to reflect the joint favorable substitute status.

Floor votes

How they voted

No floor votes recorded yet.

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Mar 18, 2025

Lower · Passed

Joint Favorable Substitute

lower

Feb 27, 2025

Committee

REF. TO JOINT COMM. ON Labor and Public Employees

lower

Feb 26, 2025

Lower · Passed

DRAFTED BY COMMITTEE

lower

Jan 21, 2025

Committee

REF. TO JOINT COMM. ON Labor and Public Employees

lower

2 primary · 0 co-sponsors