Chief minister Naveen Patnaik on Saturday announced the abolition of contractual appointments in the Odisha government and said the 57,000 existing contractual employees would be regularised.

Announcing the decision on the eve of his birthday, Naveen said: “Today I am delighted to announce that the state cabinet has decided to abolish the contractual system of recruitment permanently. Even today, there are no regular recruitments in many states and they are still continuing with the contractual recruitment system. But in Odisha, the era of contractual recruitment has come to an end.”

The chief minister and Biju Janata Dal leader added: “The contractual recruitment system started in 2013. It was a difficult decision for me. Now our economy has improved significantly. Odisha has created a new identity for itself in the field of development in the country. Last year, we substituted the contractual recruitment posts with initial appointees (a commitment to regularise them).”

Stating that the notification doing away with contractual employment would be issued on Sunday, Naveen said: “More than 57,000 employees will benefit. The government will spend (an additional) Rs 1,300 crore per annum (on the salaries of the regularised employees). This decision will bring an early Diwali to their family members.”