India’s space sector is rapidly opening up for private companies. In the last few years, emphasis has been laid on increasing the participation of private companies in many space related works. But meanwhile, a big question is being raised among some employee organizations of the Indian Space Research Organization (ISRO) – how far will the privatization of the space sector go and what will be ISRO’s role in building rockets, satellites and running launch infrastructure in the future?
Now this question has reached the top level of ISRO. After the successful launch of the GSLV F-17/EOS-05 mission on September 4, a report in The Times of India said that employee organizations of several major ISRO centers have written to ISRO Chairman and Secretary of the Department of Space, V. Narayanan, seeking an official clarification on the government’s plans.
This five-page letter has been signed by 9 representatives of employee organizations of many centers including VSSC, SDSC, URSC, LPSC, SAC, NRSC and IPRC. These organizations represent approximately 5,000 employees. This number is about 27 percent of the total number of 18,100 employees stated by ISRO.
After all, what are employees worried about?
The concern of employee organizations is not just about the fact that private companies are entering India’s space sector. From 2020, the government is emphasizing on increasing private participation in the space sector. Its objective is to create a system in which private companies can design, build and operate space-related systems, while ISRO’s main focus is on research and developing new technology.
Is there opposition to privatization?
Employee organizations are also not against the legitimate participation of private companies and commercialization of the space sector. Their concern is that the work currently being done inside ISRO should not be gradually handed over to private companies outside the organization.
Why has the concern of employees increased?
This concern increased further when IN-SPACe Chairman Pawan Goenka said in Business Today’s India @ 100 Economy Summit that in future ISRO will not manufacture launch vehicles and this work will be done by private companies or public sector companies i.e. PSUs.
This has become a big question for ISRO employees. If ISRO itself stops making rockets, what will happen to its existing engineering and manufacturing capabilities within the organization?
What tasks are already being transferred?
In their letter, the employee organizations have mentioned the transfer of SSLV technology and the technology related to its production to Hindustan Aeronautics Limited i.e. HAL. Apart from this, the ongoing bidding process for transferring the technology of LVM3 has also been mentioned. LVM3 is India’s largest launch vehicle. Similarly, efforts to transfer technology related to PSLV have also been mentioned.
Employee organizations have also mentioned such reports, which say that in future even general satellite manufacturing work may go outside ISRO. Apart from this, it has also come to light that new launch infrastructure like Space Launch Complex being built in Kulasekarapattinam, Tamil Nadu, will be opened to private institutions.
Employee organizations say they don’t necessarily have a problem with any of these steps. Their main concern is that the government has not yet clearly explained where ISRO’s responsibility will end in the future and where the role of private companies will begin.
What is the argument of ISRO employees?
- ISRO employees argue that making rockets is not just a simple manufacturing job. Every step from rocket design to assembly, testing and launching involves decades of experience, technical knowledge, institutional experience, safety procedures and expertise.
- Employee organizations fear that if these functions gradually move out of ISRO, the organization may lose some of the capabilities that it has taken decades to build.
- If private companies start doing the work that is currently done within ISRO, employees fear that work opportunities within the organization may reduce. This may affect promotion opportunities, opportunities to learn new skills and future recruitment.
- The apprehension has also been expressed in the letter that some existing employees may become surplus or may be sent to other work. This can happen when private contractors start doing the same work using the technology developed by ISRO.
- Another concern of employee organizations is regarding strategic self-reliance. He says that having critical launch vehicle development, testing and launch operations within a public institution maintains a special level of accountability, quality control and safety oversight.
- They fear that if a large part of these capabilities goes out of ISRO, then these security and surveillance systems may be affected.
Is there already a shortage of employees in ISRO?
- Interestingly, the concern about low recruitment of employees has come to the fore at a time when ISRO itself is struggling with a large number of vacant posts.
- According to government data, as of February 2026, 15,529 employees were working in ISRO against 18,142 sanctioned posts. That means about 14.4 percent posts were vacant.
- The government says that work is being done on the process of filling these vacant posts. But employee organizations fear that if outsourcing of ISRO’s main functions increases, the need for new employees may reduce in future and recruitment may be affected.
- The employee organizations have written in their letter that existing employees may be surplus, sent to other jobs or may not have enough work, while the same work can be done by private contractors using technology developed with public money.
- The letter also states that regular recruitment to Group A, B and C posts is already limited due to vacant posts and employees leaving the job. If the recruitment reduces further, then the opportunities for those youth who hope to have a respectable government career in ISRO will also reduce.