Nasscom is reviewing labor laws from WFH perspective and will submit a report next week.
In wake of the ongoing corona pandemic, the Indian IT sector is demanding changes in the country’s taxation and labor laws, as 50% of the country’s 4.3 million IT workers will soon work from home according to the IT industry leader.
Industry body Nasscom has been tasked with preparing a detailed report. After this, it will go to relevant ministries such as the department of telecom and the ministry of labor for action.
Nasscom is currently reviewing the reports from the WFH perspective and will be sending a report to the government by the next week.
“Once work from home is enabled at a large scale, people may want to work for only a certain number of hours, as opposed to the norm of working 8 hours a day. This could benefit women, students and handicapped people greatly,” a government official said.
India’s IT industry contributes 8% to the country’s gross domestic product and has a 46% share in the country’s services exports.
The country’s software exports stood at $147 billion in the fiscal year 2020.
Since the lockdown in March, India’s IT industry has moved nearly 90% of its workforce to deliver services from home. The government categorized the industry as essential services and permitted exemptions similar to those granted to units in SEZs and STPIs by the department of telecom.
The successful transition is now prompting large-scale shifts in work models across the industry, with India’s largest IT services firm Tata Consultancy Services (TCS) looking at 75% of its workforce working remotely by 2025.
Experts are of the view that a shift to a WFH model delivers gains to both the industry and to society as metros are decongested with lower migration from tier II and III cities that could lead to the reduced carbon footprint.