Simplified WFH norms for SEZ IT units to drive business ease, flexibility: Nasscom

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IT industry body Nasscom on Friday said that the just-notified simplification of work-from-home rules in SEZs is a major step towards ease of doing business and will provide companies operating in such zones the flexibility to develop a strong hybrid work model.

The government on Thursday permitted complete work-from-home option to employees of IT units in a special economic zone till December 2023.

The Centre has amended the Special Economic Zones (SEZs) rules to permit IT/ITeS units in SEZs to allow 100 per cent of their workforce to work from home (WFH) till December 31, 2023 with certain conditions.

''This is a major step towards enabling ease of doing business and will provide much-needed flexibility for companies operating in SEZs to develop a strong hybrid work model for the future,'' Nasscom said in a statement.

The apex software industry body explained that effective immediately, there will be no need to file an application to seek approval for WFH and there is no restriction on the extent of WFH that can be enabled by a unit in the SEZ.

''If required, units may even operate all of their employees in a hybrid/ remote manner. This facility is available till December 31, 2023,'' Nasscom said.

The only requirement is that the units shall intimate the local Development Commissioner through an email that they are implementing a WFH model.

''This has been one of the major asks from Nasscom and will help the industry to get sufficient time to organically come up with a hybrid model which is sustainable for a longer duration without the burden of compliance,'' the association said.