Glyoxylic acid is formed in the troposphere by oxidation of organic molecules. In sea salt aerosols, it is expected to be present as glyoxylate, integrated into the salt environment and strongly interacting with water molecules. In water, glyoxylate is in equilibrium with its gem-diol form. To understand the influence of water and salt on the photophysics and photochemistry of glyoxylate, we generate small model clusters containing glyoxylate by electrospray ionization and study them by Fourier-Transform Ion Cyclotron Resonance (FT-ICR) mass spectrometry. We used infrared multiple photon dissociation spectroscopy and UV/vis photodissociation spectroscopy for structural characterization as well as quantum chemical calculations to model the spectra and dissociation patterns. Resonant absorption of infrared radiation leads to water evaporation, which indicates that water and glyoxylate are separate molecular entities in a significant fraction of the clusters, in line with the observed absorption of UV light in the actinic region. Hydration of glyoxylate leads to a change of the dihedral angle in the CHOCOO-·H2O complex, causing a slight redshift of the S1 ← S0 transition. However, the barriers for internal rotation are below 5 kJ mol-1, which explains the broad S1 ← S0 absorption extending from about 320 to 380 nm. Most importantly, hydration hinders dissociation in the S1 state, thus enhancing the quantum yield of fluorescence combined with water evaporation. No C-C bond photolysis is observed, but due to the limited signal-to-noise ratio, it cannot be ruled out. The quantum yield, however, will be relatively low. Fluorescence dominates the photophysics of glyoxylate embedded in the dry salt cluster, but the quantum yield shifts towards internal conversion upon addition of one or two water molecules.