Seattle reports $13 million payroll error in police department payments

The City of Seattle has announced a payroll error resulting in over $13 million in excess payments to approximately 900 Seattle Police Department employees. The mistake occurred during the calculation of retroactive wage increases of 6% for hours worked in 2024. Instead of using 2024 base rates, staff manually used 2020 rates, creating a significantly larger pay differential than intended.

Individual overpayments varied, with some officers receiving upwards of $32,000. About 100 employees received at least $20,000 in excess funds, while hundreds more received between $10,000 and $20,000. The error primarily affected members of the Seattle Police Officers Guild, though some management and civilian staff were also impacted.

The city is now working to recover the funds. While non-union employees must repay the money according to state law, the city must enter formal bargaining with the Seattle Police Officers Guild to determine repayment terms, as their contract is silent on inadvertent overpayments. The union has already filed grievances regarding the matter. To prevent future occurrences, the City Budget Office and the Office of City Finance are implementing new oversight standards requiring prior approval for all future retroactive payments.