Our study illustrates how boundary mechanisms exacerbated the marginalization of paid domestic workers in India, after they resumed their employment at the end of the lockdown during the COVID-19 pandemic. We draw upon in-depth interviews with the middle-class employers of these workers to show how the employers renegotiated boundary rules and created bubbles of safe interaction for themselves. We contribute to boundary theory by explaining how pre-existing symbolic boundaries intensify and materialize into social boundaries. Social boundaries often result in unequal access to resources, further increasing disparities. But how do these boundaries get invoked? What forms do they take? So far, we do not have enough empirical research examining the creation and maintenance of social boundaries. This study shows how social boundaries get created and stabilized within gated communities through deployment of material resources, regulations and routinization of boundary tactics. These exclusionary social boundaries are further strengthened by the presence of an external agency, emerging as a new and significant actor in the hitherto private employer–worker relationship. Finally, we note that these boundaries result in normalized differential treatment of domestic workers, thus accentuating the class divide.