Seattle officials are attempting to reclaim approximately $13.1 million in erroneous back pay distributed to over 900 police employees. The error stemmed from using 2020 pay rates instead of current 2024 rates to calculate retroactive wage increases.

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The 2020 rate error that inflated June paychecks

A calculation error involving outdated salary data led to significant overpayments for Seattle police employees during the summer of 2024 . Instead of applying the 6% retroactive wage increase to the current 2024 base pay rates, the calculation mistakenly utilized rates from 2020. According to the report, these inflated figures were distributed across 12 separate paychecks throughout the month of June.

The error specifically impacted members of the Seattle Police Officers Guild (SPOG), though smaller numbers of employees from the Seattle Police Management Association and Teamsters 117 were also affected. While the city confirmed the mistake did not originate within the Workday payroll system itself, the discrepancy was significant enough to require a massive recovery effort led by the Seattle Police Department, the City Budget Office, and the Office of City Finance.

A $13.1 million mistake during a $175 million budget shortfall

The scale of the payroll error is particularly striking given Seattle's current fiscal climate. The city is currently grappling with a reported $175 million budget shortfall, making a $13.1 million oversight a high-stakes blunder. The City Budget Office only identified the discrepancy in mid-July after the Seattle Police Department flagged a mismatch between actual spending and the projected budget for retroactive pay.

This fiscal mismanagement has drawn sharp criticism from local media. As reported by KIRO, hosts Ursula Reutin and Gee Scott highlighted the absurdity of a $13 million error passing through the city's administrative layers without detection. The error has intensified the pressure on city leadership to demonstrate tighter fiscal responsibility during a period of significant budgetary tightening.

The $20,000 debt facing individual SPOG members

The attempt to recoup these funds has placed a heavy financial burden on the individual officers who received the excess money.. Some employees have reported that they could potentially owe between $10,000 and $20,000 back to the city. While Mayor Katie Wilson stated that the city must bargain with the Seattle Police Officers Guild (SPOG) regarding repayment,the suddenness of the debt has created significant tension.

SPOG President Mike Loux has indicated that the union is not interested in retaining funds that members were not entitled to receive.. However, the guild has filed a batch of grievances to ensure the city's math is correct. Loux emphasized that the primary goal for the union is to verify the exact amounts owed and to ensure that no officers were actually underpaid during this process.

Who missed the discrepancy before the July discovery?

Significant questions remain regarding the lack of internal review that allowed the erroneous payments to proceed. While the city is now coordinating to strengthen internal controls, it remains unclear how the calculation error bypassed multiple layers of oversight before the June paychecks were issued. The source does not specify which specific department or individual was responsible for the initial calculation error.

Furthermore, the city has yet to clarify how it will balance the urgent need to recover $13.1 million with the necessity of providing reasonable repayment plans for employees who did not cause the error. The outcome of the ongoing negotiations between Mayor Wilson's administration and the various police unions will be critical in determining how this massive administrative failure is resolved.