ISLAMABAD: Federal government have closed 446 Utility stores across the Country to reduce expenses.
According to Utility Stores Corporation sources, despite the closure of several stores, no employees will be laid off. The closures primarily affect stores with low revenue and high losses, particularly in rural areas.
The total number of utility stores, including both regular and franchise outlets, stands at 5,130. Of the 3,982 regular stores, 446 have been closed, while none of the 1,148 franchise stores have been affected. Additionally, there are plans to reduce the number of regular stores to 3,000.
It is important to note that in August this year, the federal government ended subsidies on five essential items sugar, flour, ghee, pulses, and rice at utility stores. In response, the Utility Stores Corporation has implemented various cost-cutting measures.
The federal government has included the Utility Stores Corporation in its privatization plans, with a proposal to close some stores; however, there has been no significant progress on this initiative as of yet.
