Islamabad, Dec 2: As part of a significant corporate reorganization, the federal government will close almost 1,000 struggling Utility Stores nationwide.
446 outlets have already been shut down, and the remaining ones will experience a similar fate depending on how well they operate on a daily basis. Losing businesses in rural areas that have previously relied on government subsidies are the main targets of the closures. Stores with low sales and ongoing losses have been targeted for closure, according to sources.
Officials reassured that no imminent job losses are planned despite worries about the impact on the workforce, but decisions about the 3,800 impacted employees are still up in the air. According to sources, dismissals or reassignments are being considered.
In an effort to streamline operations, the company is also looking at the idea of combining profitable and losing stores. The move comes after the government eliminated subsidies for necessities like cooking oil, sugar, and flour in August. These subsidies were previously thought to be crucial for low-income households.
