The move comes after sustained objections from mill workers’ unions, representations to the government, and political pressure over a clause that was widely seen as harsh and unfair.

What the Government Changed

In a Government Resolution issued on 15 March 2024, the state had approved housing for eligible workers from 58 closed or sick textile mills in Mumbai and their legal heirs. However, Clause 17 of that resolution stated that:

If a mill worker or heir refused the house offered, their housing application would not be considered again.

This effectively meant a one-time refusal led to a permanent loss of housing rights, regardless of reasons such as location, size, or suitability of the dwelling.

Following strong opposition, the government has now issued a corrigendum GR dated 29 December 2025, officially deleting Clause 17.

Why This Decision Matters

With this correction:

• Eligible mill workers or their heirs will not lose their housing rights permanently if they reject a particular allotment
• Their applications can still be considered in future allotment cycles
• Workers will no longer feel forced to accept unsuitable housing out of fear

The change restores flexibility and fairness to a long-pending housing promise made to Mumbai’s textile workers.

Scale of the Mill Workers’ Housing Issue

The mill workers’ housing programme is one of Mumbai’s largest labour-linked housing initiatives. Nearly 98,600 mill workers have been identified as eligible for homes in the Mumbai Metropolitan Region (MMR).

Despite this, actual allotments over the years have been limited, with only a fraction of eligible workers receiving homes through earlier MHADA allotment exercises. Many families have waited for decades since the collapse of Mumbai’s textile industry in the early 1980s.

Against this backdrop, any rule that risked permanent exclusion was seen as particularly severe.

Unions Welcome the Rollback

Mill workers’ unions had raised strong objections to the clause during meetings with the government in mid-2025, arguing that it punished workers for exercising choice and ignored ground realities such as distance from workplaces, medical needs, or family size.

The deletion of the clause is being viewed as a major relief and a recognition of the workers’ long-standing concerns.

What This GR Does — and Does Not Do

Removes a punitive condition
Protects future eligibility of mill workers
Makes the scheme more humane

Does not announce new houses
Does not expand eligibility
Does not immediately allot flats

The broader housing scheme remains unchanged, but its implementation is now less rigid.

Bigger Implications for Mumbai Housing Policy

At a time when Mumbai faces acute housing stress and land scarcity, the amendment signals a more sensitive approach to legacy labour housing issues. It also highlights how sustained public pressure can lead to course correction in policy.

How quickly homes are now allotted — and whether the scheme gains momentum — will be closely watched.

The post Maharashtra Govt Reverses Harsh Rule on Mill Workers’ Housing Allotment — “No More Lifetime Ban for Rejecting an Offered Home” appeared first on Square Feat India.

The announcement was made by Deputy Chief Minister and Housing Minister Eknath Shinde at the MHADA Konkan Board computerized lottery draw held in Thane, where 5,354 tenements and 77 plots were allotted through a transparent digital process.

₹50 Lakh Crore Investment for 35 Lakh Homes

Maharashtra is targeting the construction of 35 lakh homes statewide in the next five years, fuelled by a ₹50 lakh crore investment pipeline through both public and private sector participation.

The state is also working towards the PM Awas Yojana (Urban) target of two crore homes, with an emphasis on housing for working women, senior citizens, and rental housing options to address urban housing demand.

Shinde highlighted that the Central Government’s GST reduction on housing has further lowered costs, offering relief to homebuyers and boosting construction momentum.

30 Lakh Homes in MMR by 2030

Under the MMR Growth Hub Plan, the government has set a goal of 30 lakh new homes in MMR by 2030, with MHADA directly or indirectly delivering about 8 lakh homes.

The massive response to the Konkan Board lottery — 1,58,424 applications for 5,354 homes — reflects rising public trust in MHADA’s transparent allotment systems, Shinde noted. He instructed MHADA to maintain quality standards and ensure projects are completed within stipulated timelines to meet this ambitious target.

Acceleration of Pending Redevelopment Projects

The government has directed MHADA, CIDCO, MMRDA, MIDC, and the Brihanmumbai Municipal Corporation (BMC) to focus on completing pending slum rehabilitation and redevelopment projects. This includes several long-delayed schemes that are now being fast-tracked under the revised housing policy.

Key redevelopment projects expected to contribute around two lakh homes in the next five years include:

• BDD Chawls
• Sindhi refugee buildings at Sion Koliwada
• Kamathipura redevelopment
• Abhyudaya Nagar (Kalachowki)
• Motilal Nagar (Goregaon)
• Siddharth Nagar (Patrachawl)
• Sardar Vallabhbhai Patel Nagar (Andheri)
• Bandra Reclamation
• Adarsh Nagar (Worli)
• Jogeshwari PMGP Poonam Nagar

These projects are expected to unlock large tracts of underutilized urban land, paving the way for affordable and mid-income housing.

Strong Track Record and Mill Worker Housing

MHADA Vice President and CEO Sanjeev Jaiswal highlighted that this was the fourth computerized lottery held by the Konkan Board in the last three years, allotting a total of 13,500 tenements during this period.

Across all regional boards — Pune, Nashik, Chhatrapati Sambhajinagar, and Nagpur — MHADA has allotted 41,500 tenements in the same timeframe.

Additionally, nearly 20,000 mill workers have already been allotted homes, and eligibility for around one lakh mill workers and their heirs has been finalized to speed up future allotments.

Also Read: RBI Monetary Policy – Can the Housing Market Absorb Another Hike?

The post 🏡 35 Lakh Homes, ₹50 Lakh Crore Investment: Maharashtra Unveils Massive Housing Push for MMR appeared first on Square Feat India.