Federal Minister for Parliamentary Affairs Dr. Tariq Fazal Chaudhary Sunday announced the closure of the Utility Stores Corporation (USC) across the country.
Addressing a press conference alongside USC Managing Director Shabbir Khattak and Secretary General of the National Welfare Union of USC Raja Muhammad Miskeen, the minister assured that the rights of all USC employees – permanent, contractual, and daily wagers – had been fully protected under the directives of the Prime Minister.
A consensus, he added, was reached between the government and the USC employees’ union to provide a comprehensive severance package worth Rs 28.2 billion.
Dr. Tariq Fazal noted that USC, established in 1971, had played a vital role in providing essential commodities to the public at subsidized rates. Its network expanded to more than 5,500 stores nationwide by 2009, employing nearly 12,750 workers. However, despite government efforts, the corporation continued to suffer heavy losses.
“The Prime Minister has made it clear that employees must not suffer due to the closure,” he said, adding that a special committee chaired by the Federal Finance Minister was constituted to oversee the process.
The Ministries of Finance and Industries, and Production also played a key role in finalizing the severance benefits.
Highlighting the unprecedented scope of the package, the minister said this was the first time in Pakistan’s history that contractual and daily-wage employees were being included, ensuring fair compensation for all USC staff.
Turning to broader national issues, Dr. Tariq Fazal said Pakistan’s economy was showing signs of improvement with key indicators moving positively.
At the same time, he expressed grief over the devastation caused by recent floods, particularly in Khyber Pakhtunkhwa, where around 800 lives had been lost.
He praised the Pakistan Army, NDMA, provincial administrations, and civil society for their relief efforts, while lauding Prime Minister Shehbaz Sharif’s directive for urgent assistance.
On the occasion, Raja Muhammad Miskeen expressed gratitude to the Prime Minister and the federal government for ensuring what he described as a fair and respectable settlement for USC employees.