Odisha set to withdraw salary hike Bills for MLAs & Ministers after backlash

Bhubaneswar: The Odisha government on Thursday officially moved to withdraw the four bills that sought a nearly three-fold increase in the salaries, allowances, and pensions of MLAs, ministers, the Chief Minister, Speaker, and Deputy Speaker.

The Odisha Legislative Assembly Secretariat informed that Parliamentary Affairs Minister Mukesh Mahaling has given notice of his intention to seek leave to withdraw four amendment bills – The Odisha Legislative Assembly Members’ Salary, Allowances and Pension (Amendment) Bill, 2025, The Odisha Legislative Assembly Speaker’s Salary and Allowances (Amendment) Bill, 2025, The Odisha Legislative Assembly Deputy Speaker’s Salary and Allowances (Amendment) Bill, 2025, The Odisha Ministers’ Salaries and Allowances (Amendment) Bill, 2025.

The withdrawal will take effect after approval by the House. The legislation, introduced and unanimously passed by the Odisha Legislative Assembly on December 9, 2025 , during the winter session, had proposed raising an MLA’s monthly emoluments from around Rs 1.11 lakh to Rs 3.45 lakh, making them among the highest-paid legislators in the country. The Chief Minister’s package was set to jump from Rs 98,000 to Rs 3.74 lakh, while ministers, the Speaker, and Deputy Speaker would have seen similar sharp increases, with revised car and sumptuary allowances and a hike in former MLAs’ pensions from Rs 30,000 to Rs 80,000 per month with further increments for additional terms. The changes were to apply retrospectively from June 5, 2024.

The bills were justified at the time on grounds of inflation, rising costs, and comparisons with other states. However, the move faced immediate and intense backlash from civil society, social outfits and citizens, who criticised it as insensitive given ongoing issues like unemployment, rising prices, and economic hardships in the state. Critics, including political analysts, described the hike as “megalomaniac” and questioned its timing and justification.

Even before the formal withdrawal, signs of retreat emerged. BJP MLAs, including those from the ruling party, urged Chief Minister Mohan Charan Majhi to review the decision “to respect public sentiment,” submitting a written representation. The Biju Janata Dal (BJD), which had initially supported the bills, also called for reconsideration, with former Chief Minister and Leader of Opposition Naveen Patnaik publicly announcing he would forgo the enhanced salary and redirect it toward welfare for the poor. Congress leaders echoed calls for a review, highlighting the unusual cross-party consensus that initially passed the bills without dissent.