Don't know which way to go on this.
Does sound discriminatory if it's just aimed at the offr's, but also remember getting roughly the same letter, whilst out, inviting myself, and everyone else who left around the same time to come back with no penalties.
As for loyalty, I agree, it should be rewarded, but after a reasonable time, not leaving it until people have a couple of years left to serve.
Promoting from within. What a great idea. Believe me if someone offered me a commision at the mo I'd rip their arms off!!!!! (But then those who know me must be P**sing themselves now!!!)