The federal government’s recent decision to close utility stores across Pakistan has caused widespread concern, particularly among the 11,000 permanent and daily wage workers who depend on these jobs to feed their families.
This move is part of a larger five-year privatization plan that seeks to transfer key public sector entities, including Pakistan International Airlines (PIA) and several electricity supply companies, to private ownership.
Many of these workers have devoted decades to the Utility Stores Corporation-USC and now face an uncertain future. In the current challenging economic environment, the loss of these jobs will devastate their families and contribute to the rising unemployment rate in Pakistan.
The Utility Stores Workers Union accompanied by the All Pakistan Labour Federation-APLF has already declared a nationwide strike and protests in Islamabad in response to this decision.
Their concerns are justified, as the sudden shutdown of these stores leaves little time for Workers to find alternative employment or for the government to provide adequate support during this transition.
For over 50 years, utility stores have been crucial in serving low-income families by offering essential goods at subsidized prices. These stores often serve as a lifeline for those living in rural areas where access to affordable commodities is limited. The sudden end of the Rs50 billion subsidy, which previously provided significant relief to around 26 million deserving households, is a severe blow to the poorest segments of society.
With the shutting down of these utility stores, low-income families will now have to turn to the open market, where prices are often inflated and out of reach. This decision not only worsens economic inequality but also leaves millions of people vulnerable to food insecurity and poverty.
The Utility stores corporation USC has historically been a pillar of support during national crises. Whether it was the 2005 earthquake, floods, or economic downturns, utility stores provided essential relief packages to affected populations at lower prices. The absence of this safety net could be catastrophic in future emergencies, leaving the most vulnerable segments without access to affordable essential goods.
The closure of utility stores not only threatens the livelihoods of thousands of workers but also deprives millions of low-income families of access to affordable essential goods.
The voices of those affected must be heard, and the government must reconsider its decision to ensure that the rights and needs of workers and low-income families are not overlooked in the pursuit of economic gains.
