Looma News
- TCS has extended its contract for SPARSH, the pension system for defence personnel, for three more years.
- SPARSH has greatly improved pension processing, cutting the time from 12-18 months to just 14 days.
- The system has rolled out the One Rank One Pension (OROP) scheme, benefiting 18 lakh pensioners.
- Centralizing the pension disbursement has saved the government ₹250 crore annually.
- TCS has digitized pension records going back to 1914 and onboarded over 2,300 offices.
- TCS is exploring new digital solutions to handle overpayment refunds.
Looma News
Tata Consultancy Services (TCS) has extended its contract for the SPARSH pension system, which helps manage pensions for India’s defence personnel. This extension, announced on Tuesday, will last for another three years. SPARSH, launched in October 2020, has brought major changes to how pensions are processed for more than 30 lakh defence pensioners. The system has reduced pension processing times from 12-18 months to just 14 days, and first-time pension payments are now completed in just 5-7 days, making the process much faster and more efficient.
A key success of SPARSH has been the implementation of the One Rank One Pension (OROP) scheme, ensuring that 18 lakh eligible pensioners receive their payments within just 15 days. The system has also centralized the disbursement of pensions, cutting out bank service charges and saving the government ₹250 crore every year.
Beyond improving processing speeds, TCS has digitized millions of pension records, some dating back to 1914, and brought 50 organizations and 2,302 offices into the system to help smooth out operations. So far, over ₹2.82 lakh crore in pensions has been disbursed. TCS is also working on digital solutions to make handling overpayment refunds easier and more efficient.
The news of the contract extension had a positive impact on TCS’s stock, which was trading at ₹4,352.70, up ₹37.60 or 0.87% on the NSE at the end of the session on same day.
