Good News! Union Cabinet gives ex-post facto approval to One Rank One Pension

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New Delhi, Apr 6: In a good news to Army veterans anxiously waiting for the implementation of the One Rank One Pension scheme, the Union Cabinet on Tuesday gave its approval.

The Union Cabinet chaired by Prime Minister Narendra Modi has given its ex-post facto approval for implementation of OROP, a PIB report said.

Union Cabinet gives ex-post facto approval to One Rank One Pension

Here are the details of the decisions taken in the Union Cabinet meet:

1. The benefit will be given with effect from 1st 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.

(OROP benefit for over 15 lakh defence pensioners: Ravi Shankar Prasad)

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 instalments. However, all the family pensioners including those in receipt of Special/Liberalized family pension and Gallantry award winners shall be paid arrears in one instalment.

(7th Pay Commission: Salary hike implementation to push up GDP)

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/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.

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 31st March, 2016, 15.91 lakh pensioners have been given the first instalment 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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