BMC Election 2026: Maharashtra Govt Scraps Contentious Housing Clause For Mill Workers Ahead Of Polls

Mumbai: With Mumbai in full election mode ahead of the Brihanmumbai Municipal Corporation polls, the Maharashtra government’s latest decision on mill workers’ housing is being seen as a politically astute move that could benefit the ruling Mahayuti coalition.

Order Issued

In an order issued on Monday, the state government scrapped a contentious condition that had barred mill workers or their heirs from reapplying for housing if they had earlier declined an allotted unit or shown no interest in it. The clause formed part of a policy decision taken in March last year and had triggered widespread resentment among mill workers’ families. According to official figures, around 1.74 lakh mill workers or their legal heirs have applied for housing under the state scheme.

These applicants are linked to 58 textile mills in Mumbai that were declared sick or shut down over the years. Under the policy, beneficiaries are entitled to a 300 sq ft home priced at ₹15 lakh, with the state government subsidising ₹5.5 lakh. Mill workers remain a politically significant constituency, not only because of their numbers but also due to the multiplier effect of voters within each family. Beyond electoral arithmetic, Mumbai’s textile mills occupy a deeply emotional space in the city’s social and cultural history, making policy decisions related to them especially sensitive.

So far, the government has provided 15,870 housing units to eligible mill workers and heirs. To address the mounting demand, it had proposed generating additional housing stock through private participation, by offering land parcels in Thane district and Raigad district. Private developers have reportedly expressed interest in constructing nearly 80,000 units.

However, as most applicants have consistently demanded housing within Mumbai itself, the earlier condition risked disqualifying a large section of them. This became a major source of discontent against the government, prompting the reversal. With most mill workers residing in Byculla, Lalbaug, Parel, Sewri, Worli, Dadar and Prabhadevi, the withdrawal of the condition is likely to ease political pressure on ruling party candidates in these crucial pockets.

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