Although State Government implemented 7th Pay Commission w.e.f 01.01.2016, but it's Employees are getting HRA as per 6th pay (i.e.5% & 20%). As per 7th Pay Commission, the HRA is fixed as 8%-16%- 24% for X, Y & Z category cities respectively. Most of the employees having headquarters in Bhubaneswar availed Govt quarters. So it may not affect them but those are staying in rented rooms in different parts of the state due to shortage of suitable quarters, they need this revised HRA as they have to pay much more rent as compared to the HRA given to them. It's a good news that Govt have changed the norms for sanction of HRA to the employees in Urban Area vide finance department memorandum No.8741 Dr.31.03.2017 extending 8km radius area restriction upto limits of concerned Urban Local Body. Besides 60% of arrears is also pending.