What is One Rank One Pension?
A system for uniform pension for the armed forces personnel retiring at the same rank, irrespective of the date at which they retire(as the rules of pension at that time may differ). So with this system, the new changes in the pension system at present would automatically apply to the past pensioners.
What is the significance and importance of OROP?
- It would bridge the gap between the new and the old which in-principle is completely acceptable. The whole army is a single unit and thus, differentiation on the basis of new and old is irrational in nature.
- As high as 88% of the armed forces retires at an early age(around 35). Thus, they have to spend a lot of their life after retirement. There have been a number of cases of pitiable conditions of army jawans post retirement. A suitable pension, thus plays an important role in securing them a good living standard.
What was hindering the implementation of OROP?
Bureaucratic delays and apathy towards armed forces were the major hindrances in the implementation of OROP. This was also agreed upon by the Koshyari Committee on OROP.
What are the overall implications of OROP?:
- On the positive side, it will lead to better living conditions for the veterans.
- Complete grant of the OROP award would amount upto Rs. 75,000 of military pensions. which is sligthly less than the salary bill of around 94,000 crore. This would aggravate the fiscal deficit
What are the points of contentions even now?
Broadly, there are three points of contention:
- Base year for pay scale :
- Government : 2011
- Veterans: 2014.
- Revision frequency:
- Government: after every five years
- Veterans: annually.
- Fixation of pensions:
- Government: average of the top and the bottom pensioner.
- Veterans: should be fixed at the top of the scale.
- Terms of Premature retirement : Though the government has accommodated the veterans who opt for voluntary retirement, the terms(clause) associated with it are not acceptable to the veterans.