The following article was first published on Shipman & Goodwin attorney Dan Schwartz’ Connecticut Employment Law Blog. It is reposted here with permission.

With the legislative session in the rear view mirror, it’s time to analyze some of the bills that may have been overlooked. One of them had significant changes to the state’s retirement security program.

Public Act No. 25-30, which was signed into law on June 9, 2025, brings important updates that will affect how employers handle employee retirement benefits.

Given that these changes were effective July 1, 2025, here’s what employers need to know.

Under the prior version of the law, employers were required to enroll their eligible employees in the state’s retirement savings program.

The revised law now establishes a clear enforcement process to the MyCTSavings.com program with graduated penalties.

The penalties (for each year employers remain non-compliant for 90+ days):

• Small employers (5-24 employees): Up to $500
• Medium employers (25-99 employees): Up to $1,000
• Large employers (100+ employees): Up to $1,500

The program also now accommodates the federal Saver’s Match contribution, which provides additional retirement savings incentives for lower-income workers.

The state Comptroller will ensure participant accounts can receive these federal contributions.

Despite the change in penalties, there are several key aspects remain the same:

• Employer size threshold: Still applies to employers with five or more...

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