<p>The Centre has finally given its nod to implement the long-pending demand of service personnel to implement one-rank one-pension (OROP) to ensure uniform pension for more than 20 lakh retired army personnel.<br /><br /></p>.<p>The interim budget enhanced the defence outlay by 10 per cent from Rs 203,672 crore in 2013-14 to Rs 224,000 crore in 2014-15. Almost half of the hike would be spent on acquiring military hardware.<br /><br />But OROP remains the most important highlight of the defence budget. The acceptance comes three days after Congress vice-president Rahul Gandhi supported OROP and told the veterans the government would do everything to address their concerns.<br /><br />“The government has accepted the principle of one-rank, one-pension for the defence forces. This decision will be implemented prospectively from 2014-15,” Union Finance Minister P Chidambaram said presenting the interim budget in the Lok Sabha.<br />Under OROP, retired service personnel were demanding same pension for individuals retiring on the same rank and having the same length of service. At the moment, there is a difference in pension amount between those who retired before January 1, 2006, and after that date.<br /><br />For instance a colonel who retired in 2003 gets Rs 26,500 as pension as against Rs 34,000 drawn by another officer holding the same rank, who retired in 2014.<br /><br />Though previous UPA defence ministers – Pranab Mukherjee and A K Antony – were sympathetic to OROP, which received support from Parliament, several government panels were against its implementation arguing heavy financial burden and similar demands coming from other sectors.<br /><br />“It is an important and historic step. Armed personnel are guarding our country and it is our duty to look after their well being,” Gandhi said reacting to the announcement.<br />A additional Rs 500 crore in 2014-15 will be transferred to the Defence Ministry in the current fiscal to take care of OROP expenses.<br /><br />Defence Ministry sources said OROP is expected to cost about Rs 2,500 crore every year and Rs 500 crore is only the initial allocation.</p>
<p>The Centre has finally given its nod to implement the long-pending demand of service personnel to implement one-rank one-pension (OROP) to ensure uniform pension for more than 20 lakh retired army personnel.<br /><br /></p>.<p>The interim budget enhanced the defence outlay by 10 per cent from Rs 203,672 crore in 2013-14 to Rs 224,000 crore in 2014-15. Almost half of the hike would be spent on acquiring military hardware.<br /><br />But OROP remains the most important highlight of the defence budget. The acceptance comes three days after Congress vice-president Rahul Gandhi supported OROP and told the veterans the government would do everything to address their concerns.<br /><br />“The government has accepted the principle of one-rank, one-pension for the defence forces. This decision will be implemented prospectively from 2014-15,” Union Finance Minister P Chidambaram said presenting the interim budget in the Lok Sabha.<br />Under OROP, retired service personnel were demanding same pension for individuals retiring on the same rank and having the same length of service. At the moment, there is a difference in pension amount between those who retired before January 1, 2006, and after that date.<br /><br />For instance a colonel who retired in 2003 gets Rs 26,500 as pension as against Rs 34,000 drawn by another officer holding the same rank, who retired in 2014.<br /><br />Though previous UPA defence ministers – Pranab Mukherjee and A K Antony – were sympathetic to OROP, which received support from Parliament, several government panels were against its implementation arguing heavy financial burden and similar demands coming from other sectors.<br /><br />“It is an important and historic step. Armed personnel are guarding our country and it is our duty to look after their well being,” Gandhi said reacting to the announcement.<br />A additional Rs 500 crore in 2014-15 will be transferred to the Defence Ministry in the current fiscal to take care of OROP expenses.<br /><br />Defence Ministry sources said OROP is expected to cost about Rs 2,500 crore every year and Rs 500 crore is only the initial allocation.</p>
