Finance Minister Muhammad Aurangzeb chaired a committee meeting of the Utility Stores Corporation (USC), confirming that all operations of the state-owned enterprise would be ceased by the end of this month. The meeting, held in Islamabad, was convened by the finance minister and attended by Prime Minister Shehbaz Sharif to oversee the closure and privatization of the USC.
The committee was tasked with ensuring a smooth and transparent closure process by formulating a suitable ‘voluntary separation scheme’ (VSS) for USC employees and recommending a structured timeline for privatization. The meeting reviewed the progress made in line with its assigned duties and engaged in in-depth discussions to chart a way forward.
The committee held extensive discussions on designing a fair and financially sustainable ‘voluntary separation scheme’ for the corporation’s staff. It also examined various dimensions of the separation scheme, including its projected size, potential fiscal impact, and legal and operational implications associated with its structure and rollout.
In addition, the committee recommended engaging the Privatization Commission to explore the optimal approach and feasibility of fully privatizing the USC or pursuing asset sales. The chair constituted a subcommittee, headed by the Secretary of the Establishment Division, to facilitate a comprehensive analysis. This subcommittee will examine the legal and operational aspects, contours, size, and structure of the proposed voluntary separation scheme and submit its report to the main committee by the end of the week.
