Govt approves payment of OROP arrears with effect from July 1, 2019

Govt approves payment of OROP arrears with effect from July 1, 2019
Govt approves payment of OROP arrears with effect from July 1, 2019
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New Delhi: The Union Cabinet has approved payment of arrears under the One Rank One Pension (OROP) revision with effect from July 1, 2019.

As of now, the cumulative amount paid as arrears to the members of the armed forces to date is about Rs 6,000 crore with a total estimated amount of Rs. 28,000 crores.

The estimated financial implication in payment of pending arrears completely in FY 2023-24 will be approximately Rs 22,000 crore that will be drawn from the budget of Defence Pension under the Ministry of Defence (MoD).

Earlier last month, a bench of Chief Justice DY Chandrachud and Justice PS Narasimha asked the Centre to ensure that all arrears are paid by March 15. The apex court also granted ex-servicemen association the liberty to file an application if they were aggrieved by any action of Centre with regards to the payment of OROP arrears.

In December 2022, the government had approved a revision of pension of ex-servicemen under OROP with retrospective effect from July 1, 2019.

The decision will benefit around 25 lakh pensioners. According to the Defence Ministry, the decision will lead to an additional annual expenditure of ₹8,450 crore. Officials said that ₹23,638 crore will be paid as arrears to the pensioners from July 2019 to June 2022.

Pension of the past pensioners would be re-fixed on the basis of the average of minimum and maximum pension of defence forces retirees of the calendar year 2018 in the same rank with the same length of service. Pension for those drawing above the average shall be protected.

The benefit would also be extended to family pensioners, including war widows and disabled pensioners.

The union cabinet also paid its tributes to 11 jawans who died in Chhattisgarh's Dantewada.

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