In this paper, a code division multiple access (CDMA) enabled dynamic bandwidth allocation (CDBA) algorithm is proposed for the upstream access scheme for Ethernet passive optical networks (EPON). The CDBA algorithm is based on two major components: The first is the parallel transmission capacity offered by CDMA according to the quality of service (QoS) requirement and the second component is the scheduling algorithm which uses the round robin technique. Extensive simulations have been performed in order to compare the proposed CDBA with existing dynamic bandwidth allocation (DBA) algorithms that achieve good bandwidth utilization by use of polling schemes. It is shown that the CDBA can significantly improve the network performance in terms of packet delay, throughput, and queue size management as compared with the well known IPACT algorithm.