diff --git a/sgl-router/Cargo.toml b/sgl-router/Cargo.toml
index 418bf8d2c..30b248e87 100644
--- a/sgl-router/Cargo.toml
+++ b/sgl-router/Cargo.toml
@@ -21,7 +21,7 @@ serde_json = "1.0"
 pyo3 = { version = "0.22.5", features = ["extension-module"] }
 dashmap = "6.1.0"
 http = "1.1.0"
-tokio = "1.42.0"
+tokio = { version = "1.42.0", features = ["macros", "rt-multi-thread"] }
 # Added for enhanced logging system
 tracing = "0.1"
 tracing-subscriber = { version = "0.3", features = ["env-filter", "json", "chrono"] }
diff --git a/sgl-router/src/server.rs b/sgl-router/src/server.rs
index e60760415..0d6cf6910 100644
--- a/sgl-router/src/server.rs
+++ b/sgl-router/src/server.rs
@@ -18,7 +18,7 @@ use tracing::{error, info, warn, Level};
 
 #[derive(Debug)]
 pub struct AppState {
-    router: Router,
+    router: Arc<Router>,
     client: Client,
 }
 
@@ -29,7 +29,7 @@ impl AppState {
         policy_config: PolicyConfig,
     ) -> Result<Self, String> {
         // Create router based on policy
-        let router = Router::new(worker_urls, policy_config)?;
+        let router = Arc::new(Router::new(worker_urls, policy_config)?);
         Ok(Self { router, client })
     }
 }
@@ -218,24 +218,23 @@ pub async fn startup(config: ServerConfig) -> std::io::Result<()> {
         .build()
         .expect("Failed to create HTTP client");
 
-    let app_state = web::Data::new(
-        AppState::new(
-            config.worker_urls.clone(),
-            client.clone(), // Clone the client here
-            config.policy_config.clone(),
-        )
-        .map_err(|e| std::io::Error::new(std::io::ErrorKind::Other, e))?,
-    );
+    let app_state_init = AppState::new(
+        config.worker_urls.clone(),
+        client.clone(),
+        config.policy_config.clone(),
+    )
+    .map_err(|e| std::io::Error::new(std::io::ErrorKind::Other, e))?;
+    let router_arc = Arc::clone(&app_state_init.router);
+    let app_state = web::Data::new(app_state_init);
 
     // Start the service discovery if enabled
     if let Some(service_discovery_config) = config.service_discovery_config {
         if service_discovery_config.enabled {
-            let worker_urls = Arc::clone(&app_state.router.get_worker_urls());
-
-            match start_service_discovery(service_discovery_config, worker_urls).await {
+            info!("🚧 Initializing Kubernetes service discovery");
+            // Pass the Arc<Router> directly
+            match start_service_discovery(service_discovery_config, router_arc).await {
                 Ok(handle) => {
                     info!("✅ Service discovery started successfully");
-
                     // Spawn a task to handle the service discovery thread
                     spawn(async move {
                         if let Err(e) = handle.await {
@@ -252,7 +251,10 @@ pub async fn startup(config: ServerConfig) -> std::io::Result<()> {
     }
 
     info!("✅ Serving router on {}:{}", config.host, config.port);
-    info!("✅ Serving workers on {:?}", config.worker_urls);
+    info!(
+        "✅ Serving workers on {:?}",
+        app_state.router.get_worker_urls().read().unwrap()
+    );
 
     HttpServer::new(move || {
         App::new()
diff --git a/sgl-router/src/service_discovery.rs b/sgl-router/src/service_discovery.rs
index 28210f9fa..103551891 100644
--- a/sgl-router/src/service_discovery.rs
+++ b/sgl-router/src/service_discovery.rs
@@ -1,3 +1,5 @@
+use crate::router::Router;
+
 use futures::{StreamExt, TryStreamExt};
 use k8s_openapi::api::core::v1::Pod;
 use kube::{
@@ -7,11 +9,12 @@ use kube::{
     Client,
 };
 use std::collections::{HashMap, HashSet};
-use std::sync::{Arc, Mutex, RwLock};
+
+use std::sync::{Arc, Mutex};
 use std::time::Duration;
 use tokio::task;
 use tokio::time;
-use tracing::{error, info, warn};
+use tracing::{debug, error, info, warn};
 
 /// Represents the service discovery configuration
 #[derive(Debug, Clone)]
@@ -81,7 +84,7 @@ impl PodInfo {
 
 pub async fn start_service_discovery(
     config: ServiceDiscoveryConfig,
-    worker_urls: Arc<RwLock<Vec<String>>>,
+    router: Arc<Router>,
 ) -> Result<task::JoinHandle<()>, kube::Error> {
     // Don't initialize anything if service discovery is disabled
     if !config.enabled {
@@ -136,7 +139,6 @@ pub async fn start_service_discovery(
             // Clone Arcs for the closures
             let selector_clone = Arc::clone(&selector);
             let tracked_pods_clone = Arc::clone(&tracked_pods);
-            let worker_urls_clone = Arc::clone(&worker_urls);
 
             // Apply label selector filter separately since we can't do it directly with the watcher anymore
             let filtered_stream = watcher_stream.filter_map(move |obj_res| {
@@ -164,12 +166,12 @@ pub async fn start_service_discovery(
 
             // Clone again for the next closure
             let tracked_pods_clone2 = Arc::clone(&tracked_pods_clone);
-            let worker_urls_clone2 = Arc::clone(&worker_urls_clone);
+            let router_clone = Arc::clone(&router);
 
             match filtered_stream
                 .try_for_each(move |pod| {
                     let tracked_pods_inner = Arc::clone(&tracked_pods_clone2);
-                    let worker_urls_inner = Arc::clone(&worker_urls_clone2);
+                    let router_inner = Arc::clone(&router_clone);
 
                     async move {
                         if let Some(pod_info) = PodInfo::from_pod(&pod) {
@@ -177,18 +179,13 @@ pub async fn start_service_discovery(
                                 handle_pod_deletion(
                                     &pod_info,
                                     tracked_pods_inner,
-                                    worker_urls_inner,
+                                    router_inner,
                                     port,
                                 )
                                 .await;
                             } else {
-                                handle_pod_event(
-                                    &pod_info,
-                                    tracked_pods_inner,
-                                    worker_urls_inner,
-                                    port,
-                                )
-                                .await;
+                                handle_pod_event(&pod_info, tracked_pods_inner, router_inner, port)
+                                    .await;
                             }
                         }
                         Ok(())
@@ -219,7 +216,7 @@ pub async fn start_service_discovery(
 async fn handle_pod_event(
     pod_info: &PodInfo,
     tracked_pods: Arc<Mutex<HashSet<PodInfo>>>,
-    worker_urls: Arc<RwLock<Vec<String>>>,
+    router: Arc<Router>,
     port: u16,
 ) {
     let worker_url = pod_info.worker_url(port);
@@ -234,52 +231,275 @@ async fn handle_pod_event(
     if pod_info.is_healthy() {
         if !already_tracked {
             info!(
-                "Adding healthy pod {} ({}) as worker",
-                pod_info.name, pod_info.ip
+                "Healthy pod found: {}. Adding worker: {}",
+                pod_info.name, worker_url
             );
-
-            // Add URL to worker list
-            let mut urls = worker_urls.write().unwrap();
-            if !urls.contains(&worker_url) {
-                urls.push(worker_url.clone());
-                info!("Added new worker URL: {}", worker_url);
+            match router.add_worker(&worker_url).await {
+                Ok(msg) => {
+                    info!("Router add_worker: {}", msg);
+                    let mut tracker = tracked_pods.lock().unwrap();
+                    tracker.insert(pod_info.clone());
+                }
+                Err(e) => error!("Failed to add worker {} to router: {}", worker_url, e),
             }
-
-            // Track this pod
-            let mut tracker = tracked_pods.lock().unwrap();
-            tracker.insert(pod_info.clone());
         }
     } else if already_tracked {
         // If pod was healthy before but not anymore, remove it
-        handle_pod_deletion(pod_info, tracked_pods, worker_urls, port).await;
+        handle_pod_deletion(pod_info, tracked_pods, router, port).await;
     }
 }
 
 async fn handle_pod_deletion(
     pod_info: &PodInfo,
     tracked_pods: Arc<Mutex<HashSet<PodInfo>>>,
-    worker_urls: Arc<RwLock<Vec<String>>>,
+    router: Arc<Router>,
     port: u16,
 ) {
     let worker_url = pod_info.worker_url(port);
+    let mut tracked = tracked_pods.lock().unwrap();
 
-    // Remove the pod from our tracking
-    let was_tracked = {
-        let mut tracker = tracked_pods.lock().unwrap();
-        tracker.remove(pod_info)
-    };
-
-    if was_tracked {
+    if tracked.remove(pod_info) {
         info!(
-            "Removing pod {} ({}) from workers",
-            pod_info.name, pod_info.ip
+            "Pod deleted: {}. Removing worker: {}",
+            pod_info.name, worker_url
+        );
+        router.remove_worker(&worker_url);
+    } else {
+        // This case might occur if a pod is deleted before it was ever marked healthy and added.
+        // Or if the event is duplicated. No action needed on the router if it wasn't tracked (and thus not added).
+        debug!(
+            "Pod deletion event for untracked/already removed pod: {}. Worker URL: {}",
+            pod_info.name, worker_url
         );
-
-        // Remove URL from worker list
-        let mut urls = worker_urls.write().unwrap();
-        if let Some(idx) = urls.iter().position(|url| url == &worker_url) {
-            urls.remove(idx);
-            info!("Removed worker URL: {}", worker_url);
-        }
+    }
+}
+
+#[cfg(test)]
+mod tests {
+    use super::*;
+    use crate::router::Router;
+    use k8s_openapi::api::core::v1::{Pod, PodCondition, PodSpec, PodStatus};
+    use k8s_openapi::apimachinery::pkg::apis::meta::v1::ObjectMeta;
+    use k8s_openapi::apimachinery::pkg::apis::meta::v1::Time;
+    use std::sync::RwLock;
+
+    // Helper function to create a Pod for testing PodInfo::from_pod
+    fn create_k8s_pod(
+        name: Option<&str>,
+        ip: Option<&str>,
+        phase: Option<&str>,
+        ready_status: Option<&str>,
+        deletion_timestamp: Option<Time>,
+    ) -> Pod {
+        let mut pod = Pod {
+            metadata: ObjectMeta {
+                name: name.map(String::from),
+                deletion_timestamp,
+                ..Default::default()
+            },
+            spec: Some(PodSpec::default()),
+            status: None,
+        };
+
+        if ip.is_some() || phase.is_some() || ready_status.is_some() {
+            let mut pod_status = PodStatus {
+                pod_ip: ip.map(String::from),
+                phase: phase.map(String::from),
+                conditions: None,
+                ..Default::default()
+            };
+
+            if let Some(status_str) = ready_status {
+                let condition = PodCondition {
+                    type_: "Ready".to_string(),
+                    status: status_str.to_string(),
+                    last_probe_time: None,
+                    last_transition_time: None,
+                    message: None,
+                    reason: None,
+                };
+                pod_status.conditions = Some(vec![condition]);
+            }
+            pod.status = Some(pod_status);
+        }
+        pod
+    }
+
+    // Helper to create a Router instance for testing event handlers
+    fn create_test_router() -> Arc<Router> {
+        let worker_urls = Arc::new(RwLock::new(Vec::new()));
+        Arc::new(Router::Random {
+            worker_urls,
+            timeout_secs: 5,
+            interval_secs: 1,
+        })
+    }
+
+    #[test]
+    fn test_service_discovery_config_default() {
+        let config = ServiceDiscoveryConfig::default();
+        assert!(!config.enabled);
+        assert!(config.selector.is_empty());
+        assert_eq!(config.check_interval, Duration::from_secs(60));
+        assert_eq!(config.port, 80);
+        assert!(config.namespace.is_none());
+    }
+
+    #[test]
+    fn test_pod_info_from_pod_valid() {
+        let k8s_pod = create_k8s_pod(
+            Some("test-pod"),
+            Some("10.0.0.1"),
+            Some("Running"),
+            Some("True"),
+            None,
+        );
+        let pod_info = PodInfo::from_pod(&k8s_pod).unwrap();
+        assert_eq!(pod_info.name, "test-pod");
+        assert_eq!(pod_info.ip, "10.0.0.1");
+        assert_eq!(pod_info.status, "Running");
+        assert!(pod_info.is_ready);
+    }
+
+    #[test]
+    fn test_pod_info_from_pod_not_ready() {
+        let k8s_pod = create_k8s_pod(
+            Some("test-pod"),
+            Some("10.0.0.1"),
+            Some("Running"),
+            Some("False"),
+            None,
+        );
+        let pod_info = PodInfo::from_pod(&k8s_pod).unwrap();
+        assert!(!pod_info.is_ready);
+    }
+
+    #[test]
+    fn test_pod_info_from_pod_no_conditions() {
+        let k8s_pod = create_k8s_pod(
+            Some("test-pod"),
+            Some("10.0.0.1"),
+            Some("Running"),
+            None,
+            None,
+        );
+        let pod_info = PodInfo::from_pod(&k8s_pod).unwrap();
+        assert!(!pod_info.is_ready);
+    }
+
+    #[test]
+    fn test_pod_info_from_pod_missing_name() {
+        let k8s_pod = create_k8s_pod(None, Some("10.0.0.1"), Some("Running"), Some("True"), None);
+        assert!(PodInfo::from_pod(&k8s_pod).is_none());
+    }
+
+    #[test]
+    fn test_pod_info_from_pod_missing_ip() {
+        let k8s_pod = create_k8s_pod(Some("test-pod"), None, Some("Running"), Some("True"), None);
+        assert!(PodInfo::from_pod(&k8s_pod).is_none());
+    }
+
+    #[test]
+    fn test_pod_info_from_pod_missing_status_phase() {
+        let k8s_pod = create_k8s_pod(Some("test-pod"), Some("10.0.0.1"), None, Some("True"), None);
+        let pod_info = PodInfo::from_pod(&k8s_pod).unwrap();
+        assert_eq!(pod_info.status, "Unknown");
+    }
+
+    #[test]
+    fn test_pod_info_from_pod_no_status_object() {
+        let mut k8s_pod = create_k8s_pod(Some("test-pod"), None, None, None, None);
+        k8s_pod.status = None;
+        assert!(PodInfo::from_pod(&k8s_pod).is_none());
+    }
+
+    #[test]
+    fn test_pod_info_is_healthy() {
+        let healthy_pod = PodInfo {
+            name: "p1".into(),
+            ip: "1.1.1.1".into(),
+            status: "Running".into(),
+            is_ready: true,
+        };
+        assert!(healthy_pod.is_healthy());
+
+        let not_ready_pod = PodInfo {
+            name: "p2".into(),
+            ip: "1.1.1.2".into(),
+            status: "Running".into(),
+            is_ready: false,
+        };
+        assert!(!not_ready_pod.is_healthy());
+
+        let not_running_pod = PodInfo {
+            name: "p3".into(),
+            ip: "1.1.1.3".into(),
+            status: "Pending".into(),
+            is_ready: true,
+        };
+        assert!(!not_running_pod.is_healthy());
+    }
+
+    #[test]
+    fn test_pod_info_worker_url() {
+        let pod_info = PodInfo {
+            name: "p1".into(),
+            ip: "1.2.3.4".into(),
+            status: "Running".into(),
+            is_ready: true,
+        };
+        assert_eq!(pod_info.worker_url(8080), "http://1.2.3.4:8080");
+    }
+
+    #[tokio::test]
+    async fn test_handle_pod_event_add_unhealthy_pod() {
+        let router = create_test_router();
+        let tracked_pods = Arc::new(Mutex::new(HashSet::new()));
+        let pod_info = PodInfo {
+            name: "pod1".into(),
+            ip: "1.2.3.4".into(),
+            status: "Pending".into(),
+            is_ready: false,
+        };
+        let port = 8080u16;
+
+        handle_pod_event(
+            &pod_info,
+            Arc::clone(&tracked_pods),
+            Arc::clone(&router),
+            port,
+        )
+        .await;
+
+        assert!(!tracked_pods.lock().unwrap().contains(&pod_info));
+        assert!(!router
+            .get_worker_urls()
+            .read()
+            .unwrap()
+            .contains(&pod_info.worker_url(port)));
+    }
+
+    #[tokio::test]
+    async fn test_handle_pod_deletion_non_existing_pod() {
+        let router = create_test_router();
+        let tracked_pods = Arc::new(Mutex::new(HashSet::new()));
+        let pod_info = PodInfo {
+            name: "pod1".into(),
+            ip: "1.2.3.4".into(),
+            status: "Running".into(),
+            is_ready: true,
+        };
+        let port = 8080u16;
+
+        handle_pod_deletion(
+            &pod_info,
+            Arc::clone(&tracked_pods),
+            Arc::clone(&router),
+            port,
+        )
+        .await;
+
+        assert!(tracked_pods.lock().unwrap().is_empty());
+        assert!(router.get_worker_urls().read().unwrap().is_empty());
     }
 }