Utility Stores workers vow resistance as govt plans shutdown from 10th

Business

All operations will shut down by the end of the month

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ISLAMABAD (Web Desk) - The Utility Stores Corporation (USC) employees’ union on Thursday vowed to resist the government’s decision to shut down retail operations by July 10, saying it would fight for the rights of over 11,000 workers by initiating protests, sit-ins and legal action.

Established by the government in 1971, the corporation has a nationwide chain of retail outlets that provide essential commodities to the general public at prices lower than those in the open market.

The corporation took over 20 retail outlets at the beginning but now operates 6,000 stores across the country. The government allocated Rs65 billion ($229.7 million) to subsidize the products sold by the retail chain in the last fiscal year.

One of its spokespersons confirmed to Arab News the corporation’s public retail stores will be closed by July 10, adding that all operations will shut down by the end of the month.

“We have received instructions from the Ministry of Industries and Production to close down all the stores by July 10, shift remaining goods to warehouses and completely shut down operations by July 31, 2025,” Sajid Marwat, USC Public Relations Officer, said.

Meanwhile, Arif Shah, Secretary General of the All Pakistan Workers Alliance of Utility Stores, said the union will use all available avenues to protect the corporation and its employees.

“We will pursue both options, challenging the decision in court and staging on-ground protests including a sit-in at the [USC] headquarters,” he said.

“In total, around 17,000 people — including 11,500 direct employees of Utility Stores, 2,000 to 2,500 vendor staff and 3,000 franchise store workers from 1,000 to 1,200 outlets — will be affected by the closure,” Shah said, adding the authorities had already terminated around 4,100 employees.