Bhiwandi: Warehouse sealing leaves around 500 workers without income, union files complaint
Bhiwandi, Maharashtra — A trade union has lodged formal complaints with the Thane labour commissioner and the Maharashtra Food and Drug Administration (FDA) after the cancellation of a food licence and subsequent sealing of an Amazon warehouse in Bhiwandi, actions the union says have rendered about 500 warehouse workers unemployed.
The Platform App Based and Other Commerce Workers Union said the warehouse — which carried out loading, picking and last-mile activities — has been sealed since August 7 following FDA action over allegations of expired stock. The union alleges the FDA’s cancellation of the food licence and sealing constitute an Unfair Labour Practice under the Maharashtra Recognition of Trade Unions and Unfair Labour Practices Act, 1971, and breach the Contract Labour (Regulation & Abolition) Act, 1970.
“Food safety enforcement must not come at the cost of workers’ livelihoods,”
the union said in its complaint, and demanded procedural safeguards and financial protections for affected employees.
Union demands and proposed safeguards
In its submissions to the labour and FDA commissioners, the union sought several specific measures aimed at reducing hardship for workers who lose employment during enforcement action. These include:
- At least seven days’ prior notice to the labour department and the union before suspension or cancellation of any licence that affects more than 50 workers.
- Creation of a Worker Protection Fund, to be financed by employers, to pay affected workers 50% of wages during suspension periods.
- Formation of a joint committee comprising representatives of the labour department, FDA and unions to assess worker safety before and during enforcement action.
- Faster registration and welfare coverage for gig and platform workers under the e-Shram portal.
The union argues these steps would strike a balance between legitimate food safety enforcement and the economic security of low-wage logistics and platform workers who lack sustained social protection.
Regulatory timeline and court action
According to the union’s account and agency reports, the FDA initially suspended the warehouse’s food licence on June 25 on the ground of expired stock. A show-cause notice followed and the licence was cancelled on July 1, although an appeal against the suspension was reportedly still pending at that time. On August 7 the warehouse was sealed.
The matter reached the Bombay High Court, which on August 7 criticised the FDA’s handling and directed the authority to file an affidavit by August 27 in response to the warehouse operator’s challenge. As a temporary measure, the court on August 10 ordered the e-commerce operator to inventory expired goods and hand them to the FDA for disposal within three days.
| Date | Action |
|---|---|
| 25 June | FDA suspended food licence over alleged expired stock |
| 1 July | FDA issued show-cause notice and cancelled the licence |
| 7 August | Warehouse sealed; Bombay High Court criticised FDA's approach |
| 10 August | High Court ordered inventory and disposal of expired goods within three days |
Local impact and broader questions
The union told authorities that the sealing has left roughly 500 workers — including loaders, pickers and delivery personnel — without income. For many of these employees, who typically work on contractual or platform-based arrangements, sudden loss of shifts or suspension of operations can mean immediate financial distress. The union said quicker access to welfare registration and an employer-funded contingency fund would help mitigate such shocks.
Legal and labour experts have in recent years debated the tension between regulatory enforcement and worker protection, particularly in the platform economy where employment relationships and social-security coverage are often unclear. The union’s complaint cites existing labour statutes while urging procedural notice requirements to the labour department before regulatory steps that affect large numbers of workers.
On the regulatory side, the FDA has argued that food safety measures are essential to protect consumers and that authorities must take prompt action where expired or unsafe stock is found. The Bombay High Court’s interim directions asked the FDA to place its case on record, signalling judicial scrutiny of the authority’s procedure in this instance.
The case underlines an emerging policy faultline in industrial towns such as Bhiwandi — a major logistics and warehousing hub near Mumbai — where swift enforcement can halt operations and ripple through local economies. Workers, unions and regulators are now awaiting the FDA affidavit and any further court directions that may shape both the warehouse’s operational future and relief measures for affected staff.
Formal records of the union complaint were filed with the Thane labour commissioner and the Maharashtra FDA, the union said in its submission reported to authorities.
