The trade and manufacturing of leather have grown significantly in recent years. Due to the increased activity, the amount of waste produced by the leather industry has increased as well. Usually, the tannery wastes are dumped into the environment as a landfill or directly discharged into river water endangering both human health and the environment. Additionally, these wastes increase contamination into the ecosystem and raise the rate of fatality as well as physical and morphological alterations in the living things that come in contact with them. To address these problems, several strategies have emerged to manage these tannery wastes including chemical, thermal, and biological processes that enable material and energy recovery from these wastes. Nowadays, the integration of enzymatic technologies with emerging biotechnological strategies for waste valorization reveals a promising pathway toward achieving circular economy goals within the tannery industry. Enzymatic processes offer environmentally friendly alternatives to traditional chemical methods, enabling efficient breakdown of complex organic compounds such as tannins and proteins present in waste streams. This chapter highlights the recent enzymatic approaches for the treatment and valorization of tannery wastes such as the enzymatic digestion of fat, collagen, and keratin-rich wastes into valuable and functional products. The chapter also discusses the current advances, key technical challenges, and future prospects of this field.