ISLAMABAD: The federal government on Thursday formally shut down all utility stores across the country following the approval from Prime Minister (PM) Shhebaz Sharif and Utility Stores Corporation (USC), ARY News reported.According to a notification issued by the Ministry of Industries and Production, all sorts of sales and purchase have been closed on utility stores from Thursday.The federal government had set 31st July, 2025 as the official deadline to close down the stores. The decision was taken in a high-level meeting held on 28th June on the directive of Prime Minister Shehbaz Sharif.As part of the closure strategy, all USC employees will be offered a Voluntary Separation Scheme (VSS).Earlier, in May 2025, the International Monetary Fund (IMF) asked Pakistan to terminate additional Utility Stores Corporation employees by June 30 as part of its right-sizing policy.According to sources, 2,237 daily-wage workers were sacked in the first phase. Employees in grade 14 and above will be transferred to a surplus pool by the same deadline.Last fiscal year, Utility Stores received a Rs38 billion subsidy, but the Rs60 billion allocated for the current year has not been disbursed, sources confirmed.