Utility stores reopen after 10 days as govt grants permission after employees protest

The employees of Utility Stores have successfully protested, leading the federal government to grant permission for the reopening of the stores after 10 days. 

According to the 24NewsHD TV channel, the risk of permanent closure of utility stores has been temporarily averted, and the subsidy for low-income groups is also expected to be restored soon.

Following the acceptance of their demands, employees have reopened 100 utility stores in Lahore after returning from Islamabad, ending a 10-day closure. 

Utility Stores Union leader Syed Arif Hussain Shah stated that these stores generate revenue and pay billions of rupees in taxes.

The union leader said utility stores do not impose any financial burden on the federal government, but the Prime Minister was misbriefed by the bureaucracy. 

On August 27, the decision to close utility stores across the country was challenged in the Lahore High Court (LHC), and the court of Justice Muhammad Raza Qureshi issued notices to the federal government, the Managing Director of Utility Stores, and others, demanding a response. 

The petitioner, who has been an employee of Utility Stores for the past 10 years, argues that the organisation is a profitable entity, contributing Rs25 billion annually in taxes and earning a net profit of Rs2 billion. 

The petition claims that the utility stores cover their own expenses and salaries without government aid. It further alleges that the closure is being carried out under the directives of the IMF, which could result in 11,000 employees losing their jobs.

The petitioner requests the court to annul the Cabinet Division's directive issued on August 7, 2024, and the minutes of the Cabinet Division meeting held on August 19, 2024.

On August 28, the opposition party, Pakistan Tehreek-e-Insaf (PTI), also announced supporting the sit-in of utility store employees. PTI leader Sheikh Waqas Akram showed up at the protest venue and said the party founder asked the members to join the sit-in.

Waqas asked the PPP to leave the government and join the people. He urged the coalition government to close IPPs instead of shutting down utilities stores.

Reporter: Shehzad Khan