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.
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.
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.
If OROP is not implemented for all one and all including those who take premature retirement; in that case Indian Army will grow old as none will leave the post in the higher position and thus no chain vacancy will be created. Are we ready for an older army when earlier reports have suggested keeping Indian Army young. Why , we are saying so because if a Colonel who keeps holding to his position till 54 years effectively is not vacating the post even if he gets a better opportunity in civvies street as he is worried for the aspect that he will not be a part of the OROP. So, I call Govt to make this OROP for one and all whosoever is eligible for pension. Why act like a divide and rule policy and Pakistan will be most happy with disgruntled veterans.
A Judicial Committee on OROP headed by Justice L. Narasimha Reddy, Retired Chief Justice of Patna High Court has been appointed vide Government order dated 14.12.2015 to look into anomalies, if any, arising out of implementation of OROP. The Committee shall make its recommendation within one year of the date of its constitution.
This information was given by Minister of State for Defence Dr. Subhash Bhamre in a written reply to Shri Mahendra Singh Mahra in Rajya Sabha today.
Check VII Pay commission implications here.