Recent breakthroughs in scientific and techno-industrial domains have made the development of smart and clean technologies possible. This has created an extensive demand for the separation and extraction of rare-earth metals (REMs) as they form one of the essential raw materials. However, recovery of REMs from ore matrices using traditional methods is complex, energy-intensive, and can cause serious environmental damage. In this regard, recovery of REMs from secondary sources like electronic waste (E-waste) using physical and chemical methods has gained prominence as they can meet the emerging demands by segregating the rare elements from the complex electronic materials. However, issues like high expenses and the generation of toxic waste streams have made the industry stakeholders look into biological recovery methods. The biorecovery method uses microorganisms to separate REMs from E-waste, followed by extraction and purification. The recovery process employs microbial processing methods such as bioleaching, biosorption, bioaccumulation, and bioprecipitation. The biological recovery of REMs offers many advantages like cost-effectiveness, reduction of chemical and energy input, and minimal environmental footprint. In this chapter, the different physical and chemical methods utilized for separation of REMs from E-waste are discussed. The various strains of microorganisms and the diverse techniques used for rare metals extraction are discussed in detail. The current advancements in biorecovery methods are also summarized. Lastly, the challenges and future progress required for advancements in the recovery techniques of REMs from E-waste are also mentioned.