At Mega Mathura Rally, PM Modi Expected to Announce One Rank, One Pension Scheme

One rank, one pension will mean that a same pension will be paid to armed forces personnel retiring in the same rank, irrespective of when they retired. Right now, the pension is based on the pay commission recommendations at the time when they retired.

So, a Major General who retired in 1996 draws less pension than a Lt. Colonel who retired post 1996.

Six years ago, the Supreme Court had directed the government to follow a one rank, one pension principal for retired servicemen. In February this year, the court said failure to implement it within three months would mean contempt of court.

One rank, one pension will benefit 25 lakh ex-servicemen, who will also receive arrears. It is expected to cost the government more than Rs 8300 crore a year.

In its Budget last year, months before the national election, the Congress-led UPA government announced that one-rank-one pay would be implemented, but allocated meagre Rs 500 crore seen as inadequate funds for the initiative.

On Saturday, Congress vice president Rahul Gandhi met ex-servicemen and attacked the Modi government alleging that the UPA had made provisions for the scheme and had even allocated money, but the BJP-led NDA failed to implement the scheme.

"One year has passed of the NDA government, of the Modi government and it has not proceeded ahead with the issue...Army, Navy, Air Force take care of the nation, secure our borders, their demands should be met," Mr Gandhi said.

The government told Parliament earlier this year that the scheme had been accepted and would be implemented once modalities were worked out.

Implementing one rank one pay was part of the BJP's election manifesto and Mr Modi had repeatedly assured ex servicemen in his election campaign speeches that their demands would be prioritised.

Governments in the past have opposed one rank one pension as being financially infeasible.