Senate Reviews Rs25.25bn Utility Stores Staff Package 2025. The Utility Stores Employee Package 2025 has been officially announced by the federal government to safeguard the rights and livelihoods of Utility Stores Corporation (USC) employees after the restructuring process. Valued at Rs25.255 billion, this relief plan is designed to clear employee dues, address long-standing liabilities, and provide financial stability to affected workers. The package was reviewed by the Senate Standing Committee on Industries and Production under the leadership of Chairman Senator Aun Abbas, where senators emphasized timely and transparent implementation.
Key Facts Snapshot
| Detail | Information |
|---|---|
| Total Package Value | Rs25.255 billion |
| Immediate Allocation | Rs15 billion |
| Disbursement Timeline | In three phases until June 2026 |
| Additional Funding Source | Sale of USC properties nationwide |
| USC Liabilities | Over Rs57 billion, including Rs30.8 billion owed to vendors |
Senate Standing Committee Review — Utility Stores Employee Package 2025
During the Senate Standing Committee meeting, senior officials highlighted the financial and administrative hurdles of USC. The senators reviewed payment procedures for employees and stressed the need for swift disbursements to avoid delays.
Prominent senators, including Syed Masroor Ahsan, Mirza Muhammad Afridi, and Mohsin Aziz, actively took part in the discussion. The committee agreed that this package is not only necessary for employees but also a key step towards restoring trust in USC operations.
Why the Utility Stores Employee Package 2025 Was Needed
The Utility Stores Corporation, founded in 1971, was created to provide affordable essential commodities to the people of Pakistan. However, decades of mismanagement, operational inefficiencies, and rising debts led to severe financial strain.
- Many employees faced delayed or unpaid salaries, creating livelihood concerns.
- Although profits were recorded between 2021 and 2023 due to subsidies under schemes like the Ehsaas Ration Program, these gains were short-lived.
- With liabilities crossing Rs 57 billion, a bailout package became crucial.
The Employee Package 2025 is, therefore, a lifeline for thousands of USC staff and their families.
Who Qualifies for the Utility Stores Employee Package 2025?
The package has been structured to ensure fair distribution among employees. Eligibility is based on:
- Length of service – prioritizing those with longer tenure.
- Employment status – covering permanent, contractual, and right-sized staff.
- Urgency of financial need – ensuring vulnerable employees are protected first.
This approach guarantees that relief reaches those who need it the most.
Payment Structure & Three-Phase Timeline
The federal government has earmarked Rs15 billion for direct payments to USC employees.
- Phase 1: Initial tranche to be released soon after procedural clearance.
- Phase 2: Mid-2025 disbursement to cover pending dues.
- Phase 3: Final payments to be completed by June 2026.
This phased approach allows proper fund management while ensuring steady support for employees
Funding the Remainder — Sale of USC Properties
To meet the remaining financial requirements, the government plans to sell USC properties across Pakistan. These include land, buildings, and other assets that will be liquidated to generate funds.
The Senate committee stressed that transparency and accountability will be essential in this process to prevent undervaluation or misuse of public assets.
Impact on Employees, Vendors & Operations
The Utility Stores Employee Package 2025 will have wide-ranging effects:
- Employees: Immediate relief and financial stability after months of uncertainty.
- Vendors: Potential settlement of pending dues worth over Rs30 billion.
- USC Operations: Opportunity to rebuild trust, restructure operations, and restore efficiency.
If implemented effectively, the package can provide a fresh start for both USC workers and suppliers.
Oversight, SMEDA Concerns & Follow-Up
The committee also discussed issues related to the Small and Medium Enterprises Development Authority (SMEDA). Senators questioned the sudden removal of four board members, citing accountability and transparency concerns.
Chairman Senator Aun Abbas directed SMEDA to present audit reports and notifications in the next meeting. This oversight reflects the Senate’s commitment to improving governance across institutions.
Risks & Open Questions
While the relief plan is a welcome development, several challenges remain:
- Will USC property sales generate enough funds within the set timeline?
- Can the government ensure timely disbursements without bureaucratic delays?
- How will USC balance vendor liabilities alongside employee payments?
The answers to these questions will determine the long-term success of this initiative.
FAQ About Utility Stores Employee Package 2025
Q1: What is the total value of the Utility Stores Employee Package 2025?
A: The package is worth Rs25.255 billion.
Q2: How will the payments be made?
A: Rs15 billion will be released in three phases until June 2026, while the rest will come from the sale of USC properties.
Q3: Who will benefit from the package?
A: All affected USC employees, with payments categorized based on service length and employment status.
Conclusion
The Utility Stores Employee Package 2025 represents a major government initiative to address USC’s financial challenges and safeguard employee livelihoods. With Rs25.25 billion allocated, phased payments, and property sales planned, the package promises relief to thousands of families.
However, success will depend on transparent management, timely disbursements, and vendor settlements. If implemented effectively, this plan could mark the beginning of a new chapter for USC employees and Pakistan’s retail supply chain.
