1. OROP controversy: Narendra Modi govt should let 7th Pay Commission decide best formula

OROP controversy: Narendra Modi govt should let 7th Pay Commission decide best formula

The 4-month extension of the 7th Pay Commission may prove to be a breather for the PM Narendra Modi govt in its efforts to settle the One Rank One Pension (OROP) issue...

By: | Updated: November 20, 2015 9:52 AM
Narendra Modi

While PM Narendra Modi has accepted One Rank, One Pension (OROP), in principle, it would be a good idea to let the 7th Pay Commission find a way to implement it in a manner that is practical in terms of bearing its burden and a reasonable linking of the pensions of the past and future retirees. (Reuters photo)

Santosh-TiwariThe 4-month extension of the 7th Pay Commission may prove to be a breather for the PM Narendra Modi government in its efforts to settle the One Rank One Pension (OROP) issue besides providing more time to look at the ways to generate additional money required to fund the pay-hike burden of the central government employees due to the Commission’s recommendations.

The government would do well by referring the OROP issue to the 7th Pay Commission quickly — the thought is already floating in the top government circles — as its recommendations will have a bearing on the demand of the defence veterans as salary and pension hikes for the current employees would mean that the gap between the pension of those who have retired earlier and those retiring from next year onwards will widen further even if they held the same rank.

In fact, the OROP was dropped in 1973 following the 3rd Central Pay Commission recommendations, and the demand for reinstating it has been there since then.

While PM Narendra Modi has accepted the OROP, in principle, it would be a good idea to let the 7th Pay Commission find a way to implement it in a manner that is practical in terms of bearing its burden and a reasonable linking of the pensions of the past and future retirees.

The recommendations of the commission, if the government accepts it, would be applicable from January 1, 2016.

As it has got an extension till December 31st now, the government will have to provide for the additional burden on the exchequer in the next budget.

In its medium-term expenditure framework statement laid before Parliament this month, the finance ministry has pointed out: “An important requirement for projections of salaries is to adequately provide for the increase in Dearness Allowance and normal annual increments. However, the projection period falls under the award period of the VII Central Pay Commission (VII CPC). In view of this, a higher than normative growth over the outlay of 2015-16 (B.E.) has been provided for 2016-17; whereas, a normative growth has been provided in 2017-18 (second year of projection period)..…It is pertinent to mention here that, award of VII CPC and its impact on Government finances poses a risk”.

Similarly, for pensions too, which includes both Defence and Civil pensions — higher than normative growth has been provided for the projection of outlay on pensions during 2016-17.

The expenditure on central government employees’ salaries is projected to grow to Rs 116510 crore in FY17 from Rs 10,0619 crore budgeted for FY16.

In case of defence, the statement says: “Defence expenditure on Revenue account mainly comprises of salary expenditure of armed forces and their operational expenses. In view of the likely impact of the award of the VII CPC, higher than a normative growth over the base of Rs 1.52 lakh crore (B.E. 2015-16) has been provided during the first year (2016-17) of the projection period”.

The 7th Pay Commission, therefore, has the opportunity now to come out with the recommendations according to the government’s pockets so that a higher fiscal deficit burden could be avoided, especially when there is a need to push public investment to boost growth.

  1. P
    purshotam
    Dec 30, 2016 at 10:32 am
    Please increase OROP and 7th CPC. Only ₹ 67/- increased in OROP and ₹ 3000/- increase in 7th CPC, who retire as CPO Eqvl. to JCO Army on completion of 28 years service. No future looking ahead. Pls. do something.
    Reply
    1. Major
      Aug 27, 2015 at 4:21 pm
      There is no truth in this news. OROP is totally off from the 7th CPC's terms and conditions, it is not covered anywhere. If OROP is implemented now, then the 7CPC will have to give corrections in their report pertaining to the veterans to that extent. This news is planted with malicious intent by the bureaucrats/media to instigate the veterans.
      Reply
      1. Major
        Aug 27, 2015 at 4:22 pm
        There is no truth in this news. OROP is totally off from the 7th CPC's terms and conditions, it is not covered anywhere. If OROP is implemented now, then the 7CPC will have to give corrections in their report pertaining to the veterans to that extent. This news is planted with malicious intent by the bureaucrats/media to instigate the veterans.
        Reply
        1. Major
          Aug 27, 2015 at 5:36 pm
          There is no truth in this news. OROP is totally off from the 7th CPC's terms and conditions, it is not covered anywhere. If OROP is implemented now, then the 7CPC will have to give corrections in their report pertaining to the veterans to that extent. This news is planted with malicious intent by the bureaucrats/media to instigate the veterans.
          Reply
          1. C
            chennan
            Aug 27, 2015 at 10:09 pm
            FM could have claimed credit for implementing OROP if he did not make all these fuss. If OROP is implemented on 28.8.15, then the nation will remember the DM and especially the PM for implementing OROP that was pending for 40 years, in 16 months.
            Reply
            1. C
              chennan
              Aug 27, 2015 at 10:38 pm
              OROP if granted on the 28.8.15, the credit will go to the PM and the RM . FM simply would have lost the chance to be remembered by generations of soldiers thankfully. OROP implementation will achieve many things for the govt. , mainly, uplifting the morale of the forces, attracting talents into the military and above all message that NETAS and not Babus are supreme in a democracy. Congress will be remembered over generations as the party that systematically brought down the status of the military and the para military
              Reply
              1. J
                Jakkam Gangadhar
                Aug 27, 2015 at 7:18 pm
                The govt is waiting for a good excuse to delay and they have got it in the form of 7th PC. Thank you Sir for giving such respect to all of us_ Sgt.J.G.Rao(retd)
                Reply
                1. D
                  Dr GS
                  Aug 27, 2015 at 12:46 pm
                  Last ditch effort by Babus to save their Blackened Faces. This cunning move of the Foxes is destined to fail. Their vicious efforts are gasping for breath and are already in terminal stages of being ignored. But veterans will have to be On Guard always to check their evil designs.
                  Reply
                  1. J
                    Jayarajan
                    Aug 27, 2015 at 9:56 pm
                    Why can't the author do some research before writing such ? The pension disparities of today are the result of repeated pay commissions. Entrusting the responsibility to yet another pay commission is akin to giving the key to the thief for safekeeping! What rubbish.
                    Reply
                    1. A
                      Aam Admi
                      Aug 29, 2015 at 10:05 pm
                      you have not published my comment . You are too much one sided in accepting views the views being expressed by your writer are at best too superficial ,and you did not publish my comment . It was not un-parliamentary for sure .
                      Reply
                      1. A
                        Aam Admi
                        Aug 27, 2015 at 2:10 pm
                        Unfortunate that Nation's leadership is showing an abject inepude for right decision making . Are the parliamentary resolutions going to be consigned to dustbin. What happened to those lofty promises in Koshiary committee regarding the debt the nation owes to Veterans etc. what happened to the political cl's oft repeated promises . Are these veterans to believe that they are now 2nd grade citizens of the Nation "fully captured by Bureaucrats 'and beyond the control of political cl . To give a analogy - If Army influence in stan is bad then Bureaucratic stranglehold over Indian democracy is equally vicious and self perpetuating . I would like to remind political executive a much quoted gospel from Indian scriptures : Praan Jaye per Vachan na jaye . Honour your promise to the soldier . Satyamev Jayate .
                        Reply
                        1. B
                          balan
                          Aug 27, 2015 at 7:24 pm
                          After some days we can see that the serving soldiers also will be joining with the veterans as the veterans now at JM on hunger strike are the close relatives of the serving soldiers.
                          Reply
                          1. N
                            Narendra M
                            Aug 27, 2015 at 5:23 pm
                            (1) My question is this: Would it be possible for the Seventh Pay commission to say that OROP, whenever it is implemented by the Union government, will be made applicable only to employees of the Army (that is, defence personnel excluding civil defence staff) and that the Seventh Pay Commission recommendations will be implemented only if other employees permanently give up demands for OROP? (2) It is true that since our Prime Minister has made a promise about implementation of One Rank One Pension scheme, he must honour it. It is also true that two main political parties, Congress and BJP have not shown expected maturity in handling this OROP issue. That is why, finding an acceptable solution has become pretty difficult. But I believe there are millions of citizens who have never worked for the Army and are not aware of many angles of the OROP issue. It is necessary for those who are agitating for OROP to understand this. (3) I believe that information about the number of defence personnel who are likely to be considered as eligible for OROP should be disclosed by the Central government. Similarly, estimates of total amount of payable to them per month as per today’s calculations should be disclosed so that citizens will know how much the country will have to pay to implement OROP.
                            Reply
                            1. P
                              pkpk
                              Aug 28, 2015 at 8:20 am
                              Enjoy your freedom of expression against military personal who don't enjoy this fundamental right.
                              Reply
                              1. P
                                pkpk
                                Aug 28, 2015 at 8:20 am
                                Enjoy your freedom of expression against military personal who don't enjoy this fundamental right. Do you know something about family separation, army act, army courts, daily physical training, 10 mile run till 45 years and average lifespan 10 years shorter due to hardships if lucky to be alive?
                                Reply
                                1. P
                                  pkpk
                                  Aug 28, 2015 at 8:19 am
                                  Enjoy your freedom of expression against military personal who don't enjoy this fundamental right. Yours is the only newspaper, which is spearheading anti OROP campaign against veterans. Do you know something about family separation, army act, army courts, daily physical training, 10 mile run till 45 years and average lifespan 10 years shorter due to hardships if lucky to be alive?
                                  Reply
                                  1. P
                                    pkpk
                                    Aug 28, 2015 at 8:21 am
                                    Enjoy your freedom of expression against military personal who don't enjoy this fundamental right. Yours is the only newspaper, which is spearheading anti OROP campaign against veterans. Do you know something about family separation, army act, army courts, daily physical training, 10 mile run till 45 years and average lifespan 10 years shorter due to hardships if lucky to be alive?
                                    Reply
                                    1. P
                                      pkpk
                                      Aug 28, 2015 at 1:39 am
                                      Who owns this newspaper? There must be some strong motive behind this anti OROP campaign? Somebody wants to harm the interests of our brave jawans. Otherwise banias have no interest in military service traditionally? This newspaper has published 2 antI OROP editorials in less than few hours. In this 1.25 crore nation, can nobody save the jawans from the wrath of this bania newspaper?
                                      Reply
                                      1. R
                                        Regi
                                        Aug 27, 2015 at 10:04 pm
                                        This Hope should have not given any way. Now let us Happily implement it
                                        Reply
                                        1. Ramapati Sahana
                                          Aug 27, 2015 at 1:31 pm
                                          After igning themselves / the exquisite club of Secretaries, President,MPs, Generals , All senior judges, eqv. of OROP, which has now tumbled of of the closet, they are running helter shelter. This is the power of social and m media
                                          Reply
                                          1. Ramapati Sahana
                                            Aug 27, 2015 at 11:43 am
                                            Shame.. Another trick work in play. As if 40 yrs delay was not less and really surprised what will a pay commission achieve which is a commendatory body / report and there will be no safe guard to giving it another tail spin. If a country cannot implement the SC order and disregard the parliamentary standing committee approval, nothing can be more sham to democracy and equitable justice. Goes to prove only agitation , method of violence or acquiring power of arm twisting is the only way forward.
                                            Reply
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