What Is 43A In Special Economic Zones Rules, 2006?

The government announced new work-from-home (WFH) rules for special economic zone (SEZ) units on Tuesday. The Department of Commerce has allowed WFH in SEZ units for one year and up to 50% of total employees.


• SEZ units can now extend WFH for one year for up to 50% of employees
• The new rules were notified under section 43A in Special Economic Zones Rules, 2006
• SEZ units already working under WFH are provided a transition period of 90 days to get approval
• WFH can be extended one year at a time by the DC at the request of units

What Are The New WFH Rules?

New WFH Rules

The commerce ministry added section 43A in Special Economic Zones Rules, 2006 on industry demand. The SEZ units have been demanding a countrywide uniform WFH policy for a long time. The new rules will apply to specific categories of employees in SEZ units. According to the new rules, WFH is extended for one year period only and a maximum of 50% of total employees including contractual employees. But flexibility is allowed at the request of SEZ units.

The new rules apply to the following categories of employees:

• Employees of IT/ITeS SEZ units
• Employees who are temporarily incapacitated
• Employees who keep traveling and who work offsite

The SEZ units are directed to provide equipment and security connectivity for WFH to perform authorized operations of the respective units and the permission to take out the equipment is co-terminus with the permission granted to the employee by the government notification.

SEZ units whose employees are working from their homes are provided a transition days period to take approval.

Who Is Authorized To Grant Approval?

The government has authorized the Development Commissioner (DC) of SEZs to grant WFH permission to SEZ units. The units can approach their DCs for permission. Also, the DC is given the power to approve more than the specified strength of employees (50%) to work from home for any bonafide reason to be recorded in writing.

The SEZ rules are applicable for one year only but they can be extended for one year at a time by the DC on the request of the SEZ units.

Source:- https://bit.ly/3IRUr1I

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