Earlier, there were rumors in August 2024 that the government was planning to halt subsidies on essential commodities like sugar, flour, and cooking oil, leading to speculation about a potential shutdown of utility stores. However, those claims were not confirmed, and the government continued to provide subsidies for a time.
In December 2024, another wave of rumors suggested the closure of 1,000 loss-making outlets. However, it was later clarified that the government had not made a formal decision to shut down USC but was instead considering restructuring measures to improve the corporation's financial sustainability.
Despite the financial challenges, no immediate job losses are planned for USC’s 3,800 employees, though reassignments or dismissals could be possible as decisions are finalized. Additionally, the corporation is exploring ways to merge unprofitable stores with more successful ones to streamline operations and reduce losses.
In September 2024, Minister for Industries and Production, Rana Tanveer Hussain, clarified that there were no plans to close USC entirely. He mentioned that the government was exploring restructuring options to ensure the corporation's long-term viability, with employee consultations a key part of the process.
In January 2025, the Economic Coordination Committee (ECC) approved Rs1.7 billion to settle the pending liabilities of USC under the Prime Minister’s Relief Package. However, no additional budget was allocated for the Ramazan relief package for FY2024-25. The federal cabinet later decided that USC would either be privatized or wound up, with cash transfers for underprivileged recipients being considered as an alternative.
