Employees of the Utility Stores Corporation of Pakistan (USCP) have received good news as compensation payments began on Monday. Authorities confirmed that the first instalment of the package is now being processed.
The compensation package was uploaded to the AGPR portal to ensure smooth payments for 4,459 employees across the country. The first instalment amounts to 40 percent of the total package and will be credited directly to employees’ bank accounts.
This development comes after the dissolution of the USCP in 2025, which had operated the country’s largest chain-store network with 5,939 locations. The corporation provided basic commodities at subsidized prices, offering relief to low-income households.
Established in 1971, the Utility Stores Corporation started with just 20 stores acquired from the Staff Welfare Organization. Its main goal was to supply clean, graded, and hygienic food and non-food items to the public, particularly the poorer sections of society. Over the decades, the network expanded significantly, serving millions of citizens.
The USCP was governed by a board of directors and led by a managing director. Customers and public organizations could approach courts if they had concerns about product quality or service standards at the stores.
Officials emphasized that the compensation is part of efforts to provide support to employees affected by the closure of the stores. Many employees expressed relief and described the payment as good news after a long period of uncertainty.
The compensation package is expected to continue being disbursed in multiple instalments until all employees receive their full entitlements. Authorities said the process is designed to be transparent and efficient.
Experts noted that this initiative provides financial relief to employees and also recognizes their service at one of Pakistan’s largest public-sector retail networks. Employees who served for decades are likely to benefit significantly from the package.
For many former staff members, the announcement of the first instalment is indeed good news, offering reassurance about their financial future. The government has committed to completing the payments in a timely manner to avoid delays.
The move has been welcomed by labor organizations and the public alike, highlighting the importance of supporting employees during transitions of major state-owned enterprises.
This compensation program marks a significant step in addressing the welfare of the Utility Stores employees, ensuring their contributions are acknowledged and rewarded.
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