Nowadays, the enormously growing amount of kitchen waste and wasted sludge has greatly received global attention. Vermicomposting has been represented as an eco-friendly and sustainable alternative for organic waste management. This study utilized kitchen waste generated by the university canteen and excess sludge from municipal wastewater treatment to collaboratively realize waste to resource through vermicomposting with a composting control. The results indicated that the treatment utilizing an equal mass ratio of wasted sludge and kitchen waste (T3) exhibited the greatest reduction in total organic carbon and the highest increase in total nitrogen. Furthermore, the predominant phyla observed were Proteobacteria, Actinobacteriota, Bacteroidetes, and Firmicutes. Functional prediction analysis demonstrated higher relative abundances of β-glucosidase (ascF) and 6-phospho-β-glucosidase (bglA, celF) in the vermicomposting, suggesting that the earthworms essentially enhanced the cellulose degradation. More importantly, the co-occurrence network analysis demonstrated that the vermicomposting showed a stronger interaction between Gordonia and other bacteria, thereby enhancing its ability to degrade macromolecular compounds. In general, the vermicomposting can smoothly and remarkably stabilize the kitchen waste, assisted by excess sludge and sawdust.