Textile waste released from the textile industries pose significant environmental burden as it contains a broad spectrum of hazardous agents. Such pollutants can directly contaminate the environment and subsequently pollute the soil and water media of the biosphere. Various dyes, heavy metals, and volatile organic compounds are released to the environment that act as the direct sources for the a number of beneficial invertebrates, vertebrates and also for humans. Hence development of ecofriendly approaches for sustainable treatment of the textile waste is essential to minimize environmental burden of these detrimental agents. Bioremediation is a safe and ecofriendly approach that can effectively degrade various dyes and heavy metals of textile waste. Several studies have reported the emerging potential of enzymes in degrading pollutants found in textile waste. More specifically, enzymes such as laccase, protease, cellulase, esterase, and peroxidase have been documented to breakdown azo dyes, heavy metals, and a number of volatile organic compounds. Several mechanisms such as photocatalytic degradation, free radical-mediated breakdown, oxidation, and hydrolysis are critical for enzyme-mediated bioremediation of textile contaminants. Hence, the present chapter aims to discuss the efficacy of various bioremediation techniques in degradation of textile waste pollutants in the environment. Moreover, challenges and possible solutions of enzyme-based treatment of textile waste have also been delineated.