Utility stores shutdown: Employees protest outside Islamabad head office

Government’s plan to close Utility Stores has caused a rift with employees.

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Utility Stores employees have launched a sit-in outside the head office, protesting against the government's plans to close the organisation under its rightsizing initiative.

According to Express News, the employees strongly oppose the proposed shutdown, which has led them to stage a sit-in today.

Chanting slogans against the government, the workers expressed their frustration and concerns over the potential loss of their jobs.

Arif Shah, the Union Leader for Utility Stores, revealed that the protest had commenced with the participation of all employees.

"We do not accept the government's decision to close Utility Stores, and we demand that this decision be reversed immediately," Arif added in a statement.

He further emphasised the need for regularizing daily wage and contract employees, highlighting that salaries have not been increased in the last four years.

"We are calling for a 100% salary increase, and this sit-in will continue until all our demands are met”, Arif said.

The federal government decision to close utility stores nationwide, is expected to significantly impact millions of low-income families who rely on discounted essential goods.

This decision follows the discontinuation of a Rs50 billion subsidy that previously offered relief to around 26 million households.

During a recent Senate Standing Committee meeting, the Secretary of Industry confirmed that the government is considering shutting down utility stores as part of a right-sizing initiative.

The funds saved from the subsidy will be redirected to address the energy crisis, particularly in offering relief on electricity bills.

The subsidy, which provided up to 25% discounts on essentials like flour, ghee, rice, sugar, and pulses, has already been halted, meaning these items will now be sold at regular market prices.

An action plan for the closure of the stores is being developed, along with a package for affected employees.