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Mumbai Mill Workers Accept Karjat Homes, Seek Lower Price

Mumbai mill workers agree to accept proposed 318 sq ft homes in Shelu, Karjat, while seeking a lower price.

4th November 2026

2 Min Read

Mumbai mill workers agree to accept proposed 318 sq ft homes in Shelu, Karjat, while seeking a lower price.

Mumbai’s Girni Kamgar Sangharsh Samiti (GKSS), representing around 20,000 mill workers, has agreed to accept homes in the proposed Girangaon Township at Shelu in Karjat, subject to the Maharashtra government reducing the price of each 318-sq-ft flat from ₹9.5 lakh to ₹6 lakh.

The decision was taken at a day-long gathering of mill workers in Vasai, where participants discussed the uncertainty surrounding their rehabilitation and the government’s housing policy.

Workers seek lower housing costs

The government has priced each flat at ₹15 lakh, with a subsidy of ₹5.5 lakh bringing the amount payable by each family to ₹9.5 lakh.

GKSS president Pravin Anant Ghag said the union has requested that the price be reduced to ₹6 lakh, the amount charged when 1,086 homes were allotted at Panvel in 2016.

The union has also secured the consent of approximately 3,500 families to accept the housing option in Shelu.

“With the issue becoming increasingly complicated, the workers decided to accept the available housing option in Shelu rather than wait indefinitely,” Ghag said.

The union’s decision marks a shift from its earlier position.

Mill worker unions had opposed housing proposals outside Mumbai, citing concerns that relocating elderly workers and their families would disrupt their livelihoods and sever their connection with the city.

Improved connectivity and urbanisation in other parts of the Mumbai Metropolitan Region have contributed to the change in stance, the account of the workers’ decision indicates.

Also Read: Rs 1,351 Crore Bid for Century Mills Plot Faces BMC Panel

31,005 homes proposed at Shelu

The proposed Girangaon Township will comprise 31,005 housing units. The groundbreaking ceremony for the project was held on May 1 this year, while the work order was issued to Karmayogi AVP Realty on May 4.

GKSS has said it will continue pursuing its remaining housing rights while accepting the Shelu project.

“We have pledged to establish a ‘New Girangaon’ in Shelu while continuing our struggle for our remaining housing rights,” Ghag said.

The gathering also raised concerns over the government’s repeated assurances of providing homes within Mumbai.

Workers pointed out that three Government Resolutions had been issued and tenders invited for housing projects, but there was no clear commitment to providing homes within the city.

The initial decision to provide housing to Mumbai’s mill workers was taken in 1991 by the Maharashtra government led by chief minister Sudhakarrao Naik.

Also Read: Mumbai Mill Workers Housing Scheme: Eligibility Explained

Revised development norms for mill worker housing

The Maharashtra government issued a Government Resolution last month amending earlier provisions and easing development norms to facilitate housing construction within the Mumbai Metropolitan Region.

Under the revised provisions, the permissible floor space index (FSI) for mill worker housing in residential zones has been increased from 2.5 to 3.

Construction has also been permitted in green and No-Development Zones with an FSI of 1.

The changes allow developers to construct a larger area on the same land parcel, potentially improving the financial viability of housing projects.

However, Ghag said the higher FSI could also increase construction costs and other levies, making the homes more expensive.

For decades, eligible textile mill workers and their families have sought affordable housing on redeveloped mill lands or within Greater Mumbai.

They have maintained that their contribution to the city’s economy, when cotton was its engine, should be recognised through housing within the city limits.

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