LADWP Overtime Pay Shapes Rate Increase Debate
Los Angeles businesses served by LADWP should watch how labor costs factor into a proposed rate increase.
Updated on Nov. 3, 2026 in Utilities
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The Los Angeles Department of Water and Power (LADWP) provided updated 2026 executive salary figures to CBS California Investigates, which compared them with pay at other California utilities. The state controller's 2025 records show one LADWP executive earned more than $700,000 before being replaced, and the current top executive earns $626,274 a year without bonuses or overtime.
Why it matters
LADWP attributed heavy 2025 overtime among supervisors and mechanics to wildfire recovery, storms, extreme heat, and an atmospheric river event, and said vacancies are being filled through a civil service process that can slow hiring. For businesses that rely on Los Angeles utility service and rate stability, the pay comparison feeds a live debate over costs as the board reviews a possible rate increase.
LADWP's overtime spending, paid to more than 13,000 employees, equals 5% of its $10.8 billion budget, while labor overall accounts for 18%. Peer utility executives in 2025 ranged from $296,710 at Glendale Water and Power to $1,102,219 at SMUD.
The players
Los Angeles Department of Water and Power (LADWP)
Los Angeles's municipal utility, serving as one of the largest public water and power providers in the United States with a budget of $10.8 billion.
CBS California Investigates
The investigative unit of CBS's California television operations that compared utility executive pay across the state.
California State Controller
The state office that publishes public employee wage records, including the 2025 LADWP figures cited in the report.
Southern California Edison
A major investor-owned electric utility serving much of Southern California, whose 2025 CEO pay included a salary and a bonus.
The details
LADWP said high 2025 wages for supervisors and mechanics came mainly from significant overtime tied to response and recovery work. The agency cited the January Palisades Wildfires, major storms, high-wind conditions, extreme heat, and a December atmospheric river. CBS California Investigates set LADWP's updated figures beside salaries at Southern California Edison, Glendale, Burbank, and Sacramento utilities to show how pay compares across the state.
Timeline
January 2025: Palisades Wildfires triggered response and recovery overtime.
December 2025: An atmospheric river event added to overtime demands.
Late October 2026: The board of commissioners called for a rate increase review.
November 3, 2026: LADWP updated executive salary figures were reported.
Market Landscape
Public utilities such as LADWP, SMUD, and Burbank Water and Power set executive pay under public-sector wage disclosure rules, while investor-owned Southern California Edison sets pay on a different basis. Rate proposals and overtime costs put these comparisons directly into ratepayer debates.
Businesses that depend on LADWP service should watch the board's rate review, since overtime and labor costs make up a large share of the budget being weighed. Operators in the Los Angeles area should factor possible utility rate changes into near-term cost planning.
The takeaway
Track the board's rate increase review, since overtime and labor costs are central to the figures under debate. Compare any future utility pay disclosures with the state controller's records before drawing conclusions about cost pressure.
What happens next
The Los Angeles board of commissioners is reviewing a proposed rate increase, and Southern California Edison's 2026 executive pay figures are expected once they are published.
Further reading
For more context on how utility operations and costs shape local service, explore Utilities coverage.
More information
Review the California State Controller 2025 LADWP wage records for the official pay data.
Source note: This article includes information reported by CBS News.
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