Privatisation pitch sparks anxiety at ISRO as unions demand clarity from management: Report

Key employee associations at the Indian Space Research Organisation (ISRO) have written to Isro chairperson V Narayanan, questioning the direction of the agency’s privatisation drive and its impact on the existing workforce.

The letter, sent shortly after ISRO successfully launched an earth observation satellite aboard a GSLV rocket, asks management to clarify the organisation's future mandate as private entities take over a growing share of national space operations, The Indian Express reported.

The internal pushback stems from remarks made on August 21 at a Business Today event by Pawan Goenka, chairperson of the Indian National Space Promotion and Authorization Centre (IN-SPaCE). Goenka, who also chairs the board of governors at IIT Madras, outlined a future where Isro hands off its routine manufacturing responsibilities to commercial entities.

“Eventually, ISRO will not manufacture any launch vehicles, that will be done by the private sector or PSU,” Goenka had said. “They will not do any day in day out kind of satellites. They will do the satellites that are for special purpose, for orbits for scientific research or to develop new technology that will then get transferred to the private sector.”

Signed by representatives across multiple facilities — including the Space Applications Centre and the Liquid Propulsion Systems Centre — the letter noted that Goenka's statements were never accompanied by official Department of Space policy communications detailing legal grounds, implementation timelines, or workforce impacts, the The Indian Express reported. The unions requested a “written clarification” on whether the remarks constitute an “approved decision” of the Government of India, the Space Commission, or the Department of Space, it added.

The associations argued that vehicle manufacturing and operational satellite deployment remain Isro's "core competence," warning that an abrupt exit threatens the organisation's long-term viability, diminishes public-sector career appeal for young talent, and exacerbates existing recruitment bottlenecks. They also raised questions on safeguards for current staff, the mechanics of transferring publicly funded tech to private firms, and whether employee groups will be consulted before any "irreversible decision" is taken, the report added.

Since space reforms began in 2020, the government’s target vision involved ISRO mentoring private space firms while transferring operational tasks — already passing on 120 technologies, including the SSLV and PSLV platforms. However, experts urge caution regarding complete reliance on non-state actors.