Special Assistant of the Prime Minister on Industries and Production Harooon Akhtar Khan said that the Government decided to close the operations of public service stores (USC) to prevent it from becoming “another PIA”, a measure that has affected 6,000 employees.
The National Committee of the Permanent Assembly of Industries and Production met on Tuesday in Islamabad to discuss the closure. The Secretary of Industries and Production, Saif Anjum and Haroon Akhtar, attended the session.
Saif Anjum informed the committee that all USC operations had been closed according to the deadline of July 21 of the Government.
He added that employee aid packages had been approved and would be disbursed within 15 days.
Read: 6,000 public service stores to be fired
In July, a high -level committee decided that all the operations of the Public Services Stores Corporation (USC) closed before July 31. RS30 billion were approved to supervise the transition, with funds assigned as a technical subsidy for liquidation costs and employee protections.
Of the total, RS19 billion have been allocated to employee aid packages, compared to the previously planned RS15 billion.
The Economic Coordination Committee and the Cabinet approved the packages under the business rules. The government also plans to sell 21 USC properties.
The confusion arose during a meeting of the National Committee of the Assembly of Industries and Production, where the President said that the minister had previously declared that USC operations would not be detained.
Special Assistant of the Prime Minister on Industries and Production Harooon Akhtar Khan said that the closing was decided “with a heavy heart,” adding: “Nowhere in the world the governments direct businesses. If you do, the losses are inevitable.” In addition, he clarified that the International Monetary Fund had ordered the Government to reduce the losses or close the USC operations.
Read more: Public service stores to close before July 31
The Government closed public service stores (USC) due to financial limitations, resulting in the termination of 6,000 employees.
The authorities said that generalized corruption and the burden of subsidies made the organization unsustainable. “We needed between 20 and 25 billion to administer public service stores for two more years,” an official to the National Committee of the Assembly of Industries and Production.
When the member of the Maheh Kumar committee requested the decision to reconsider, the Secretary of Industries and Production, Saif Anjum, replied that all operations had already ceased.
A high -level committee formed in July had recommended closing the USC operations before July 31. RS30 billion were approved to administer the closure, including employee aid packages.
During the session, the special assistant of the Prime Minister on Industries and Production Haroon Akhtar Khan also requested deliberations to revive the Pakistan steel factories with Russian assistance, and added that a decision would be completed at the end of the month. “If any institution is being revived, the government does everything possible for it,” he said.
