The Economic Coordination Committee (ECC) has approved Rs. 11.3 billion to clear outstanding dues owed to dismissed employees of the Utility Stores Corporation (USC).

The approved amount will be used to settle payments due to workers following the government’s decision to close the state-owned retail chain.

The development comes after USC employees faced delays in receiving salaries, severance payments and other benefits during the closure process. Thousands of workers were dismissed as the government moved to wind up the corporation, with employees also seeking payment of their outstanding dues.

The government had earlier approved financial support for the closure of USC, including employee-related payments and other liabilities.

The latest ECC approval will allow the government to proceed with payments to eligible former employees after verification of their claims and outstanding amounts.