Union Cabinet gave ex-facto approval for implementation of One Rank One Pension

The Union Cabinet chaired by the Prime Minister Narendra Modi on 6 April 2016 gave its ex-post facto approval for implementation of One Rank One Pension (OROP).
Implementation of OROP will enhance the pension for the pensioner’s/family pensioners of Defence Forces.
• The benefit will be given with effect from 1 July 2014.
• Pension will be re-fixed for pre 1 July 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.
• The benefit would also be extended to family pensioners including war widows and disabled pensioners.
• Personnel who opt to get discharged henceforth on their own request under 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.
• 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.
• In future, the pension would be re-fixed every 5 year.
• Constitution of Judicial Committee headed by Justice L Narasimha Reddy, Retd. Chief Justice of Patna High Court on 14 December 2015 which will give its report in six months on the references made by the Government of India.
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 November 2015.
As per Government declaration, the financial implications on account of grant of OROP including Pre-Matured Retirees (PMR) cases would be 10925.11 crore rupees for payment of arrears and annual financial implication would be 7488.7 crore rupees.