The Union Cabinet approved a pending pension revision for armed forces pensioners and their families under the One Rank One Pension (OROP) scheme on Friday, which had been delayed since July 2019. The Defence Ministry stated that arrears will be paid from July 1, 2019 to June 30, 2022, for a total of approximately 23,638 crore, based on the applicable dearness relief.
More than 25.13 lakh (including over 4.52 lakh new beneficiaries) Armed Forces Pensioners/family pensioners will be benefitted.
Veterans had taken the legal route to pursue the revision in the face of delays. The case has been repeatedly postponed, with the government requesting additional time in the Supreme Court.
OROP entails a uniform pension for personnel based on rank and length of service, regardless of retirement date.
Pensions for those earning more than the average will be protected, and the benefit will be extended to family pensioners, including war widows and disabled pensioners.
Arrears will be paid in four semi-annual instalments. All family pensioners, including those receiving special, liberalised family pensions and gallantry award winners, will, however, be paid in one instalment.
The estimated annual expenditure for implementing the revision is approximately 8,450 crore based on 31% Dearness Relief (DR). Arrears from July 1, 2019 to December 31, 2021 have been calculated to be over 19,316 crore based on DR at 17% from July 1, 2019 to June 30, 2021 and 31% from July 1, 2021 to December 31, 2021.