The Odisha Government has announced a 5% increase in Dearness Allowance (DA) for eligible state government employees drawing pay under the Odisha Revised Scales of Pay (ORSP), 2008. According to a notification issued by the Finance Department, the revised allowance will come into effect retrospectively from January 1, 2026.
With this revision, the Dearness Allowance has been increased from 257% to 262%. The enhanced DA will be paid along with the July salary, providing financial relief to eligible employees covered under the pre-revised pay structure.
The Finance Department issued the official notification on July 20, 2026, confirming the revised rate and its effective date. The move is part of the state’s periodic revision of Dearness Allowance to offset the impact of inflation on government employees.
Dearness Allowance is a cost-of-living adjustment provided to government employees to help maintain purchasing power amid rising prices. The latest revision will benefit employees who continue to receive salaries under the ORSP 2008 pay structure.
The revised allowance will be reflected in the salary for July, while the increase will be applicable from January 1, 2026, as specified in the Finance Department’s notification. Employees eligible under the scheme can expect the revised DA in accordance with the government’s order.
The announcement is expected to provide additional financial support to eligible state government employees and forms part of the Odisha Government’s regular revision of Dearness Allowance for different categories of employees under applicable pay rules.
