Parrikar to discuss OROP with Jaitley

Parrikar to discuss OROP with Jaitley

Defence Minister Manohar Parrikar is likely to meet Finance Minister Arun Jaitley later this week to iron out the differences on the implementation of the One Rank One Pension (OROP) for the ex-servicemen.

The two senior ministers would not only have to find ways to arrange for an additional Rs 8,300 crore in the defence ministry’s budget in 2015 to implement OROP, but would also have to plug the loopholes while rolling out the scheme.

Prime Minister Narendra Modi earlier assured the veterans that the OROP would be implemented though it might take some time.

At this stage, possible legal challenges would also have to be anticipated and resolved before an official announcement is made on the implementation of OROP, benefiting 25 lakh families.

With the 7th pay commission slated to submit its report by 2015 end, the ministers would have decide on the periodicity of future upgrade before implementing the OROP.

In the past, successive pay commissions had widened the gap between those who retired decades ago with those who retired later. As there are big gaps in the amount of pension received by the ex-servicemen depending on their date of retirement, the armed forces favour OROP, under which everybody retiring from the same rank after serving the same number of years, would get the same amount of pension.

Once implemented, OROP is likely to benefit close to 56 per cent of the foot soldiers of the Indian Army, who retired in their late 30s as Sepoy. The pension of a Sepoy, who retires after 17 years of service would see nearly 40 per cent jump if the defence ministry implemented the OROP as per the proposals submitted by the armed forces, defence ministry sources said.

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