There are about two million people employed across over 350 SEZs, which contribute to over 25% of total exports from India. SEZs operate under different trade and business laws.

The Centre on Tuesday said work from home (WFH) may be extended only to 50% of the employees, including contractual workers, and for a maximum period of one-year, for companies operating in special economic zones (SEZ). There are about two million people employed across over 350 SEZs, which contribute to over 25% of total exports from India. SEZs operate under different trade and business laws.

“As per the new notification, WFH may be extended to a maximum 50% of employees including contractual employees of the unit. There is flexibility granted to development commissioners (DC) of SEZs to approve a higher number of employees for any bona-fide reason to be recorded in writing,” said the ministry of commerce and industry.

A majority of SEZs in India houses information technology (IT) or IT- enabled services firms involved in manufacturing software, electronic items and assembled parts such as printed circuit boards. The department of commerce has notified Rule 43A, the Work from Home in Special Economic Zones Rules, 2006, for SEZs. “WFH is now allowed for a maximum period of one year. However, same may further be extended for a period of one year at a time by the DC on the request of units. In respect of SEZ units whose employees are already working from home, the notification provided a 90-day transition period to get approvals.” 

The ministry said SEZ units will provide for both equipment and secured connectivity for WFH so that employees can perform authorized operations of the units. The permission to take out the equipment is co-terminus with the permission given to an employee, the ministry said.