One Rank One Pension Accepted by Central Government - OROP

One Rank One Pension Accepted by Central Government - OROP

The Central Government has accepted the principle of ‘one rank one pension’ for the defence forces and has allocated Rs. 500 crore for this purpose.

The Government has allocated Rs. 500 crores to the Defence Pension Account in the current financial year itself for implementation of One Rank One Pension scheme for the Defence Forces of the country. Making the announcement in Parliament today during his Interim Budget Speech, the Finance Minister Shri P. Chidamram said that this decision will be implemented prospectively from the financial year 2014-15. The Finance Minister said the Government had decided to walk the last mile and close the gap for all retirees in all ranks. He said the demand of the Defence Services for One Rank One Pension (OROP) had been there for a long time and had been an emotive issue.

Extract of Budget Speech :

One Rank One Pension

56. Hon’ble Members are aware of the long standing demand of the Defence Services for One Rank One Pension (OROP). It is an emotive issue, it has legal implications, and it has to be handled with great sensitivity. During the tenure of the UPA Governments, changes in the pension rules applicable to the defence services were notified on three occasions in 2006, 2010 and 2013.

As a result, the gap between pre-2006 retirees and post-2006 retirees has been closed in four ranks (subject to some anomalies that are being addressed): Havildar, Naib Subedar, Subedar and Subedar Major. There is still a small gap in the ranks of Sepoy and Naik and a gap in the ranks of Major and above. We need a young fighting force, we need young jawans, and we need young officers. We also need to take care of those who served in the defence forces only for a limited number of years. Government has therefore decided to walk the last mile and close the gap for all retirees in all ranks.

I am happy to announce that Government has accepted the principle of One Rank One Pension for the defence forces. This decision will be implemented prospectively from the financial year 2014-15. The requirement for 2014-15 is estimated at Rs.500 crore and, as an earnest of the UPA Government’s commitment, I propose to transfer a sum of `500 crore to the Defence Pension Account in the current financial year itself.

Source: PIB News

Model Calculations - FAQ of CSC-2012

FAQ of CSC-2012 : The department of Principal Controller of Defence Accounts (Pensions) has issued illustrations to calculate the pension at revised rates for OROP Pensioners and family pensioners...

Some model Calculations are done here

Being a commissioned officer of Regular Army, the revision is to be done as per Annexure –A (table No 1) annexed to PCDA (P) Circular No 500. Look in relevant column for the rank and relevant row for qualifying service.

The revised pension w.e.f. 24.9.2012 comes out to 27795/- P.M.


Case - I      
    Name of Pensioner     J.S. Bala
    Name of Bank     SBI Chandigarh
    Existing Pension    26050/- ( Circular No. 397 )
    Rank    Colonel
    Qualifying Service    26 Years 05 Months
    Date of Commencement    07/06/1990

Being the family of a commissioned officer of Army, the revision is to be done as per annexure –A (table No -2) annexed to PCDA (P) Circular No 500. The revised pension w.e.f. 24.9.2012 comes out to 10923/- p.m.

Case - II      
    Name of Pensioner     Smt. Amarjit Kaur
    Name of Bank    SBI Mohali
    Existing Pension    8679/- ( Circular No. 397 )
    Rank    Major
    Date of Commencement    19/07/1990

Case - III      
    Name of Pensioner     Sukhvinder Singh
    Name of Bank    SBI Ropar
    Existing Pension    13500/- ( Circular No. 397 )
    Rank    MWO-Hony.Flying Officer
    Qualifying Service    34 Years
    Date of Commencement    01/01/1985
    Date of Birth     08/12/1929

The existing pension of the pensioner is not in order. Firstly, it needs to be raised to 13590/- from 13500/- P.M. wef 01/07/2009 as per PCDA (P) Circular No 482 dt 19/04/02012. Then look for revised pension for the Rank and QS in Table -20 (Air Force) annexed to Circular NO 501. The revised pension should be 15465/- wef 24/09/12.

Moreover, as the pensioner is more than 80 years old, he is also entitled to additional pension corresponding to revised pension.

Nodel Officer for Queries Complaints Related to CSC 2012

Shri S. K. Mahajan, SAO
O/o The PCDA(P)
Draupadi Ghat, Allahabad
211014
Contact No. : 0532- 2421877, 2421879
Ext : 307, 327
Email Address : cda-albd@nic.in,
orop.pcdapension@gmail.com

Source: www.pcdapension.nic.in
[http://pcdapension.nic.in/gen/mcalcu.htm]

ONE RANK ONE PENSION - FAQ of CSC 2012

FAQ in relation to One Rank One Pension:

FAQ of CSC - 2012 : The department of Principal Controller of Defence Accounts (Pensions) has issued clarifications as Frequently Asked Questions on implementation of One Rank One Pension to pensioners / family pensioners...

FAQs on Implementation of OROP vide Govt. Order dated 17.01.2013

Q: 1 Are these orders applicable to those pensioners also whose date of commencement of pension is exactly 01.01.2006 ?
A: Yes, these orders are applicable to all the pensioners/family pensioners whose date of commencement of pension is on or before 01.01.2006.

Q: 2 The date of commencement of family pension in respect of a family pensioner is 01.04.2006 whose late husband had retired from the service on 31.08.1999. Will the family pension of the family be revised under these orders?
A: Yes, the family pension will be revised under these orders because the deceased soldier was a pre-2006 retiree.

Q: 3 It is being contended by some pensioners/their associations that the arrears on account of this revision should be paid w.e.f. 01.01.2006 as the orders are merely an amendment to GOI, MoD letter dated 11.11.2008. Please clarify?
A: As the provision of these orders are effective from 24the September 2012. Hence no arrears shall be allowed for the past period.

Q:4 Will the additional pension also be revised accordingly ?
A: The improved pension will be the basic pension from 24.09.2012 and hence additional pension payable will also be revised accordingly by the PDA.

Q:5 The basic pension of a pre-2006 pensioner (Rank - Havildar , Group ‘D’) of Army having total qualifying service of 15 years is slated to be increased from 3500/- p.m. to 5301/- P.M. Is such a high increase in Basic Pension is in order?
A: The increase in BP from 3500/- to 5301/- P.M for the pensioner with particulars as mentioned above is in order. It is evident from the existing basic pension of 3500/-PM and the particulars given above that the PDA has not revised pension of the individual correctly w.e.f. 01.07.2009. The correct entitlement of the individual is as under:

Basic Pension w.e.f. :

Date	Amount (Rs.)PM	Ciruclar No.
01.01.2006	3500/-	397
01.07.2009	4635/-	430
24.09.2012	5301/-	501

Q:6 In most of the cases neither the pensioner has applied to the PDA for revision of their pension nor any Corr PPO or instructions have been received by the PDA from the PSA. Please supply the proforma of application in this regard?

A: It has been clearly mentioned in the orders that the revision of pension by PDAs has to be made with reference to Pension Tables annexed to the orders. No further authorization from the PSA or any application from the affected pensioner is required to carry out the revision.

Q:7 The tables annexed to circular No 501 & Circular No. 502 start from QS of 15 years onwards. How to revise the pension of a pensioner having less than 15 years if qualifying years?
A: Following elements of pension / type of pension are to be revised by PSA.

    Special Pension
    Invalid pension
    Service element of disability pension in respect of PBOR discharged with less than 15 years qualifying service
    Service pension of TA personnel irrespective of their QS service and
    Service element of War Injury Pension and Liberalized Disability Pension


Q:8 Mr. ‘X’ who is a Hony Nb Sub, Gp ‘D’ pensioner having total QS of 24 years is already drawing a basic pension of 7750/- PM. However as per table – 4 (Army) annexued to Cir No 501, his basic pension w.e.f. 24.9.12 should be 7601/- PM. Please advise how to regulate such cases.
A: The existing pension of the pensioner in such cases might have been revised by PCDA (P) by issuing Corr PPO (s) based on some courts orders etc. No action by PDA is required in such cases.

Q:9 Mr ‘X’ is a DSC pensioner in receipt of two pensions, one for regular Army service, and another for DSC service. Are both these pensions to be revised by PDAs?
A: The pension for regular Army service will only be revised under these orders by the PDA. A reference for revision of pension for DSC service will be sent to PCDA (P).

Q:10 The tables annexed to Circular No 501, in respect of DSC pensioner seem to be incomplete e.g. the table in respect of Sep of DSC are only up to QS of 23 years. How to revise pension of a sep of DSC who has total QS of 24 years or above?
A: Sepoy in DSC have maximum engagement period up to 20 years only with the exception that the maximum term of engagement can be up to 23 years in case of pensioner retired on or 30.5.98. Hence QS in such type of cases may be restricted to the maximum permissible and pension revised accordingly. Period-wise complete list of maximum terms of engagement for JCOs/ORs is enclosed in Appendix-X to Cir No 501.

Q:11 There is no table annexed to Cir No 502 to revise Ordinary Family Pension for NOKs of DSC Personnel. Please advise how to revise such cases ?
A: The family pension in respect of DSC personnel who are in receipt of family pension for only DSC service are to be revised at the same rates as given for family pensioners of Regular Army. DSC personnel on “clerical duty” and “other duty” are entitled for family pension of regular Army personnel of group “Y” and “Z” respectively.

Q:12 What are the basic fields/data required to revise pension under these order?
A: The basic fields/data required to revise pension under these orders are as follows:

Type of pension viz Retiring pension/service pension/ Ordinary Family Pension/ Special Family Pension/ War 1. Injury Pension/ Dependant Pension
2. Rank of the pensioner
3. Group of the pensioner (only for JCOs / PBORs)
4. Qualifying service (without weightage)
5. Record Office
6. Date of commencement
7. Date of Retirement

Q :13 How to look for the above information in the PPO or related record ?
A: In case of Post -86 retires all the information is generally available in the original PPO of the Pensioner. In cases where the required information is not available in the PPO or other record of the PDA, the missing information may be called for from the PSA concerned.

Q:14 In case of Pre-86 retires Qualifying service is generally not available in the PPO of the pensioner. Pl. advise the way out to regulate such cases.
A: The qualifying service in such type of cases can be looked for in the original Descriptive Roll of the pensioner or in the Corrigendum PPO(s). Original discharge book/certificate issued to the pensioner by the Record office is also an authentic source of such information.

Q: 15 Is capturing of information about Record office financially importance or can be done away with?
A: Following are the 4 major categories of JCOs/PBORs based on Record office.

Naval Record Office
Air Force Record Office
DSC Cannanore Record Office
All other Record offices except those mentioned above.

Different tables are available to cater to these categories and hence the importance of information about Record Office can’t be done away with.

Source: www.pcdapension.nic.in
[http://pcdapension.nic.in/gen/faq1.htm]