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Monday 30 March 2020

Cabinet approves retroactive implementation of OROP

Editorials

In India

New Delhi: The Union Cabinet chaired by Prime Minister Narendra Modi has given its ex-post facto approval for implementation of One Rank One Pension (OROP). The details are as follows:

1. The benefit will be given with effect from 1 July, 2014.

2. Pension will be re-fixed for pre 1.7.2014 pensioners retiring in the same rank and with the same length of service as the average of minimum and maximum pension drawn by the retirees in the year 2013. Those drawing pensions above the average will be protected.

3. The benefit would also be extended to family pensioners including war widows and disabled pensioners.

4. Personnel who opt to get discharged henceforth on their own request under Rule 13(3) 1(i)(b), 13(3) 1(iv) or Rule 16B of the Army Rule. 1954 or equivalent Navy or Air Force Rules will not be entitled to the benefits of OROP. It will be effective prospectively.

5. Arrears will be paid in four half-yearly installments. However, all the family pensioners including those in receipt of special or liberalized family pension and Gallantry award winners shall be paid arrears in one installment.

6. In future, the pension would be re-fixed every 5 year.

7. Constitution of Judicial Committee headed by Justice L. Narasimha Reddy, Retd. Chief Justice of Patna High Court on 14.12.2015 which will give its report in six months on the references made by the Government of India.

The implementation of OROP will result in enhanced pension for the pensioners and family pensioners of defence forces. The setting up of the Judicial Committee headed by Justice L. Narasimha Reddy will help in the removal of anomalies that may arise in the implementation of OROP order dated 7.11.2015.

The financial implications on account of grant of OROP including Pre-Matured Retirees (PMR) cases would be Rs. 10925.11 crore for payment of arrears and annual financial implication would be Rs. 7488.7 crore. Till 31 March, 2016, 15.91 lakh pensioners have been given the first installment of OROP, which amounts to Rs. 2,861 crore. Information is being gathered for processing on priority basis the cases of 1.15 lakh pensioners, after filling in the gaps of information such as the length of service being assessed, etc.

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