ProMASS News Bureau: Feb 3, 2016:
The government today said the annual recurring financial implication on account of implementation of One Rank One Pension at the current rate will be approximately Rs 7,500 crore. In a release, Defence Ministry said, the arrears from 1st July 2014 to 31st December 2015 would be Rs 10,900 crore . The Government had taken the historic decision to implement OROP in November last year.
This fulfilled the long standing demand of the Defence Forces personnel after 42 years and benefited over 18 lakh ex-servicemen and war widows. 86 percent of the total expenditure on account of OROP will benefit the Junior commissioned officers and others ranks. Payment of arrears and revision of pension under OROP is to be made by the Pension Disbursing Authorities in four installments, except for family pensioners and pensioners in receipt of gallantry awards who will be paid arrears in one installment.
The total increase in the Defence Budget for pensions is estimated to go up from Rs 54,000 crore to around Rs 65,000 crore thereby increasing the Defence Pension Outlay by about 20 percent.
