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OROP for Ex-Servicemen
Sep 09, 2015

The Government has announced the One Rank One Pension (OROP) scheme for the Ex-Servicemen. The issue of OROP has been pending for nearly four decades.

Key Points

To implement OROP, the estimated cost to the exchequer would be Rs 8000 to 10000 crore at present, and will increase further in future.

  • In simple terms, OROP implies that uniform pension be paid to the Armed Forces personnel retiring in the same rank with the same length of service, regardless of their date of retirement.

  • Future enhancements in the rates of pension would be automatically passed on to the past pensioners.

  • This implies bridging the gap between the rate of pension of current and past pensioners at periodic intervals.

  • It has been decided that the gap between rate of pension of current pensioners and past pensioners will be bridged every 5 years.

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

  • Arrears will be paid in four half-yearly instalments.

  • All widows, including war widows, will be paid arrears in one instalment.

  • OROP would be fixed on the basis of calendar year 2013.

  • Pension will be re-fixed for all pensioners retiring in the same rank and with the same length of service as the average of minimum and maximum pension in 2013.

  • Those drawing pensions above the average will be protected.

  • In future, the pension would be re-fixed every 5 years.

  • It is estimated that the expenditure on arrears alone would be 10-12 thousand crores of rupees.

  • OROP is a complex issue. A thorough examination of interests of retirees of different periods and different ranks is needed.

  • The inter-service issues of the three Forces also require consideration. This is not an administrative matter alone. 

  • It has also been decided that a One Member Judicial Committee would be constituted which will give its report in six months.


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