Work From Home (WFH)

Work From Home Policy in India: Rules, Guidelines and a Template for HR

A work from home policy in India helps HR teams define who can work remotely, how the arrangement is approved, and what employees and managers are expected to do. Without clear guidelines, organisations risk inconsistent decisions across teams, unclear performance expectations, information-security gaps and disputes over return-to-office requirements.

A well-designed policy brings these decisions into one documented framework. It covers employee eligibility, working hours, attendance, performance, equipment, expenses, data security and exceptions, while accounting for applicable employment laws and state-specific requirements.

This guide explains what to include in a work from home policy, the Indian legal considerations HR teams should review, and how to create one using a practical policy template.

Quick answer: What is a work-from-home policy?

A work-from-home (WFH) policy is a formal document that defines when employees may work remotely and how the arrangement operates. It typically covers eligibility, approvals, working hours, attendance, performance expectations, equipment, expenses, information security and policy review.

What Is a Work From Home Policy?

A work from home policy is an organisation’s written framework for managing remote work. It establishes consistent rules for employees, managers and HR instead of leaving decisions to individual teams.

Many companies manage WFH informally. A manager approves remote work, a team establishes its own availability norms, and expectations remain undocumented. This can create problems when employees in similar roles receive different treatment, managers disagree about attendance, or an employee challenges a return-to-office decision.

A documented policy helps prevent these issues by defining the rules, approval process and responsibilities in advance.

Policy ownership should be shared across functions:

• HR: Owns eligibility, approvals, attendance, leave, employee communication and grievance processes.
• Business leaders: Determine which roles can operate remotely and what customer or operational coverage is required.
• IT and information security: Establish device, access, confidentiality and data-handling requirements.
• Legal: Reviews the policy against applicable labour laws, standing orders, state-specific requirements and data-protection obligations.

What Should a Work From Home Policy Include?

A comprehensive WFH policy should answer ten questions.

Policy component	What HR should define
Eligibility	Which roles and employees can work remotely
Work arrangements	Full-time remote, hybrid and temporary WFH
Approval process	Who approves requests and exceptions
Working hours	Core availability, schedules, breaks and overtime
Attendance	Check-in procedures and absence reporting
Performance	Goals, deliverables and review processes
Equipment and expenses	Company-provided devices and reimbursement rules
Data security	Approved systems, access controls and confidentiality
Employee wellbeing	Workstation safety, workload and work-life boundaries
Review and exceptions	Policy changes, escalation and review procedures

1. Eligibility

Classify roles as remote-eligible, hybrid-eligible or on-site based on the nature of the work, customer requirements, operational dependencies and security needs.

Define any additional eligibility conditions, such as completing probation, meeting performance expectations or having access to a suitable workspace.

2. Permitted work arrangements

Specify the arrangements available within the organisation:

• Fully remote: Employees work remotely on an ongoing basis, subject to agreed conditions.
• Hybrid: Employees divide their working time between home and the office.
• Temporary WFH: Employees may work remotely for a defined period because of an approved personal circumstance, medical recovery, travel disruption or office closure.

Explain whether these arrangements are available to all eligible employees or require individual approval.

3. Approval process

Document how employees request WFH, who reviews the request and how quickly a decision should be communicated.

For example, a reporting manager may approve occasional WFH, while long-term remote arrangements require HR and business-head approval.

Include a process for employees to request reconsideration if a request is declined.

4. Working hours and availability

Specify standard working hours, core availability windows, communication expectations, breaks and the process for approving overtime.

Remote work should not automatically mean round-the-clock availability. Define when employees are expected to respond and how urgent situations are handled outside normal working hours.

5. Attendance and leave

Explain how employees record attendance through the organisation’s HRMS, check-in system or timesheet process.

The policy should also cover late arrivals, sick leave, unplanned absence, internet failures and situations in which an employee cannot work for part of the day.

6. Performance expectations

Assess remote employees using agreed objectives, deliverables, quality standards and service levels rather than online presence alone.

Define the frequency of manager check-ins, reporting requirements and performance-review processes. Apply consistent standards to employees doing comparable work, regardless of their location.

7. Equipment and expenses

List the equipment the company provides, such as laptops, headsets and peripherals. Clarify who is responsible for maintenance, damage, loss and returning company property.

If the organisation reimburses internet costs, home-office expenses or ergonomic equipment, specify the limits, eligibility criteria and claims process.

8. Data security and confidentiality

Set rules for approved devices, applications, VPN access, multi-factor authentication and handling confidential information.

Explain whether employees can print company documents at home, how physical records must be secured, and which storage services and communication channels are permitted.

Employees should know whom to contact immediately if a device is lost or a suspected security incident occurs.

9. Employee wellbeing and workplace conduct

Encourage employees to maintain a suitable workstation, take breaks and respect agreed working hours.

Confirm that the organisation’s code of conduct, confidentiality obligations, anti-harassment policy and grievance procedures apply to remote interactions, including video meetings, email and workplace messaging.

10. Policy review and exceptions

State how often the policy will be reviewed, who can approve exceptions and how employees will be informed of changes.

Define the circumstances in which an arrangement may be modified or withdrawn, while accounting for contractual commitments and applicable legal requirements.

Work From Home Rules in India: What HR Teams Should Consider

India does not have a single, universal law requiring every private employer to offer work from home to every employee. The applicable position depends on the establishment, sector, employee category, state-specific rules, employment terms and relevant government notifications.

The following is a practical overview for HR teams as of October 2026. It is not a substitute for legal advice.

Applicable employment laws and rules

The four labour codes- the Code on Wages, 2019; Industrial Relations Code, 2020; Code on Social Security, 2020; and Occupational Safety, Health and Working Conditions Code, 2020- were brought into effect on 21 November 2025, consolidating 29 central labour laws.

The government subsequently notified central rules and Model Standing Orders in May 2026. Applicability and compliance requirements can still depend on the relevant government, establishment and employee category.

Read the government’s announcement on the four labour codes and consult the applicable rules before adopting a policy.

The Model Standing Orders, 2026 include a services-sector framework that recognises work from home, remote locations and virtual workplaces. It allows an employer to permit remote work for specified periods, subject to appointment terms or an agreement with workers.

However, this should not be interpreted as a universal WFH entitlement for all employees. The standing-orders framework applies according to its statutory scope, including the relevant establishment and definition of a worker. State-specific requirements may also affect the position.

For HR teams, the key considerations are:

• WFH is not automatically mandatory: Check the employee’s appointment terms, applicable standing orders, agreements and any specific legal requirement.
  
• Coverage matters: The definition of a worker and the applicability of standing orders may exclude some managerial and supervisory employees.
  
• State rules matter: Review the applicable state Shops and Establishments legislation, notifications and exemptions, particularly for multi-location organisations.
  
• Employment documents must align: Ensure that the WFH policy, appointment letters and applicable standing orders do not contradict one another.

HR should obtain legal review before introducing major changes to existing remote-work arrangements.

Working hours, weekly rest and leave

Remote employees are not automatically exempt from applicable working-time, overtime, weekly-rest or leave requirements.

The policy should align with the applicable labour code, rules, state legislation, appointment terms and standing orders. It should also explain how attendance and overtime approvals are recorded.

For example, if an employee is required to work beyond normal hours, the policy should clarify how the additional work is authorised and whether any statutory overtime requirements apply to that employee category.

Avoid treating online availability as proof of hours worked. Maintain records appropriate to the organisation’s legal obligations and operational needs.

Data privacy and information security

India’s Digital Personal Data Protection Act, 2023 and the Digital Personal Data Protection Rules, 2025 establish a framework for processing and protecting digital personal data, with commencement and compliance requirements subject to the applicable notifications and timelines.

Remote work can increase the number of locations and devices from which employee, customer and business information is accessed. HR and IT should therefore establish clear rules for:

• Using company-managed or approved devices and applications.
• Applying encryption, secure access controls, VPNs and multi-factor authentication where required.
• Preventing unauthorised storage of personal data on personal drives, cloud accounts or messaging applications.
• Securing printed documents and confidential conversations in shared living spaces.
• Reporting lost devices, suspected data breaches and other security incidents promptly.
• Explaining employee monitoring practices, including what information is collected, why it is needed and how it is handled.

Review the Digital Personal Data Protection Rules, 2025 and the organisation’s existing data-protection obligations before finalising these provisions.

If monitoring tools are used to assess remote work, keep monitoring proportionate to a legitimate business purpose and communicate the relevant practices clearly.

Workplace conduct and employee protection

The organisation’s code of conduct and Prevention of Sexual Harassment (POSH) policy should clearly cover work-related interactions regardless of location. This includes video meetings, email, workplace messaging and other professional communications.

Employees working remotely should know how to contact the Internal Committee, where applicable, and how to raise workplace grievances. HR should ensure that reporting and complaint-handling processes remain accessible to remote employees.

The policy should also explain how the organisation will handle confidentiality breaches, misconduct and repeated non-compliance, in accordance with applicable law and established procedures.

How to Create a Work From Home Policy: A Step-by-Step Guide

Step 1: Assess which roles can work remotely

Review role responsibilities, customer commitments, security requirements, equipment needs and dependencies on other teams. Classify roles as remote-eligible, hybrid or on-site, documenting the reasons for each classification.

Step 2: Choose the work arrangements

Decide whether the organisation will offer hybrid work, fully remote roles, temporary WFH or a combination. For hybrid roles, define office attendance expectations and whether days are fixed or agreed with managers.

Step 3: Define approvals and accountability

Establish who can approve requests, the expected response time and the responsibilities of employees, managers, HR and IT.

Step 4: Establish working norms

Agree on core hours, meeting etiquette, response times, communication channels, attendance recording and how deliverables will be tracked.

Step 5: Document security and employee support

Work with IT to define device and data-handling rules. Consult Finance on expense reimbursements and HR on employee wellbeing, leave and grievance channels.

Step 6: Review legal alignment

Ask employment counsel to review the draft against applicable labour codes, standing orders, state rules, appointment terms and data-protection obligations.

Step 7: Communicate, implement and review

Obtain leadership approval, brief managers, publish the policy with an employee FAQ and collect acknowledgements. Schedule a review at least annually and whenever a material legal or operational change requires one.

Organisations reviewing remote-work arrangements should also assess how location flexibility affects talent availability, hiring requirements and workforce planning. Aligning these decisions with the wider talent strategy and transformation agenda can help HR balance employee flexibility with business needs.

Work From Home Policy Template for Indian Companies

Use the following template as a starting point. Replace the text in square brackets, remove clauses that do not apply, and have the final version reviewed by employment counsel before adoption.

[Company Name] Work From Home Policy

Effective date: [DD Month YYYY]
Policy owner: [Head of HR]
Version: [1.0]

1. Purpose and scope

1.1 This policy sets out the conditions under which employees of [Company Name] may work from home or another approved remote location.

1.2 It applies to [all employees / employees in specified roles] at [locations]. It does not apply to roles that must be performed on-site, as identified by the company.

1.3 Work from home is subject to the company’s approval process, applicable employment terms and law. Nothing in this policy overrides a statutory right or a binding contractual commitment.

2. Eligibility and permitted arrangements

2.1 The company may approve the following arrangements:

• Hybrid: [X] days per week in the office on [set days / days agreed with the manager].
• Fully remote: Available only to roles approved by [approval authority].
• Temporary WFH: Up to [X] days at a time for [specified approved circumstances].

2.2 Eligibility may depend on role requirements, performance expectations, completion of probation, business needs and the availability of a suitable workspace and reliable connectivity.

2.3 Employees may be required to attend the office for meetings, training, client visits or other business requirements, subject to applicable employment terms and reasonable notice where practicable.

3. Approval process

3.1 Employees must submit WFH requests through [HRMS / designated form]. The reporting manager will respond within [X] working days.

3.2 Fully remote or long-term arrangements require approval from [HR Business Partner / department head].

3.3 An employee may request a review of a declined request through [HR contact / escalation process].

4. Working hours and availability

4.1 Standard working hours are [hours], with core hours of [e.g., 11:00 a.m.–4:00 p.m. IST] when employees are expected to be available.

4.2 Breaks, overtime, weekly rest and holidays will be managed in accordance with applicable law, employment terms and the company’s attendance and leave policies.

4.3 Employees are not expected to respond outside agreed working hours except in defined on-call, emergency or other approved circumstances.

5. Attendance and leave

5.1 Employees must record attendance through [HRMS login / check-in / timesheet] on each working day, as applicable to their role.

5.2 Leave must be requested and approved under the company’s Leave Policy. Employees should notify their manager of illness, unexpected absence or a significant connectivity issue as soon as practicable.

6. Performance expectations

6.1 Remote employees will be assessed against agreed goals, deliverables, quality standards and performance expectations applicable to their roles.

6.2 Managers will hold [weekly / fortnightly] check-ins and include remote employees in regular performance reviews.

7. Equipment and expenses

7.1 The company will provide [laptop, headset and other approved equipment]. Company equipment remains company property and must be returned when requested or at the end of employment.

7.2 The company will reimburse [internet expenses up to ₹X per month / an approved home-office allowance of ₹X] in accordance with [expense policy and claims process]. Optional.

7.3 Employees must take reasonable care of company equipment and report loss, theft or damage to [contact / helpdesk] promptly.

8. Information security and confidentiality

8.1 Employees must use approved devices, applications and access methods, including [VPN and multi-factor authentication], as required by company security policies.

8.2 Confidential information and personal data must not be stored on unauthorised devices, personal cloud storage or unapproved messaging applications.

8.3 Employees must report suspected security incidents, data breaches or lost devices to [IT helpdesk / security contact] immediately.

8.4 Monitoring of company systems, where applicable, will be conducted in accordance with the company’s policies and applicable law. Relevant monitoring practices will be communicated to employees.

9. Employee responsibilities

9.1 Employees must maintain a suitable workspace, follow the Code of Conduct and POSH policy, and take reasonable steps to protect confidential conversations and information.

9.2 Employees must notify HR before working from a location other than their approved work location or from outside India, where required by company policy. Such arrangements require approval and may be subject to legal, tax, security and operational review.

10. Wellbeing and support -optional

10.1 Employees may access [Employee Assistance Programme / wellness benefits] in accordance with applicable eligibility conditions.

10.2 Concerns may be raised with [HR / grievance contact / Internal Committee] through [reporting channel].

11. Changes, withdrawal and review

11.1 The company may modify or withdraw a WFH arrangement for legitimate business, performance or conduct reasons, subject to applicable law, employment terms and any required process or notice.

11.2 HR will review this policy at least annually and communicate material changes in writing.

11.3 Breaches of this policy may result in review or withdrawal of the WFH arrangement and further action under applicable company policies and employment procedures.

Employee acknowledgement

I acknowledge that I have read and understood the [Company Name] Work From Home Policy and agree to comply with its applicable requirements.

Employee name: ____________________

Employee ID: ____________________

Signature: ____________________

Date: ____________________

This template is for general guidance and should be customised and legally reviewed before implementation.

Work From Home vs Hybrid Work Policy

Although the terms are sometimes used interchangeably, WFH and hybrid work can represent different arrangements.

Factor	Work-from-home arrangement	Hybrid arrangement
Work location	Primarily remote, subject to policy	Combination of remote and office work
Office attendance	As specified in the arrangement	Defined office days or attendance expectations
Policy emphasis	Remote access, communication and accountability	Coordination, collaboration and attendance planning
Best fit	Roles that can be performed remotely	Teams that benefit from both focused remote work and in-person collaboration

Many organisations use a hybrid policy as their default and permit WFH for eligible roles or temporary situations.

If both arrangements are offered, HR can document them within a single policy, with separate eligibility and approval rules but shared provisions for security, attendance, conduct and performance.

How Should HR Measure the Effectiveness of a WFH Policy?

Evaluate the policy through business and employee outcomes rather than the number of hours employees appear online. Establish a baseline before implementation and review a focused set of indicators quarterly.

Key measures include:

• Goal and deliverable completion: Whether teams meet agreed deadlines and quality standards.
• Employee engagement: Feedback from pulse surveys, one-to-one discussions and exit interviews.
• Attrition and retention: Changes in retention, particularly among high performers and hard-to-hire talent.
• Collaboration and service outcomes: Project timelines, customer satisfaction and internal service levels.
• Policy exceptions: Frequency of approval disputes, attendance issues and requests for exceptions.
• Security and compliance: Incidents, training completion and adherence to approved data-handling procedures.

Compare results across teams and work arrangements carefully. Differences in role, workload and business conditions may affect the results, so avoid attributing every change to remote work alone.

Work arrangements also influence recruitment. Flexible roles may expand the talent pool beyond one city, while strict on-site requirements can narrow it. HR should share these insights with talent acquisition and workforce planning teams so that hiring plans reflect the organisation’s operating model.

FAQs

Build Work Arrangements That Support Your Talent Strategy

A clear WFH policy does more than set attendance rules. It helps HR balance business requirements, employee expectations, information security and access to talent.

If your organisation is reviewing its workforce model or planning hiring across remote, hybrid and office-based roles, talk to Taggd about aligning your workforce planning and talent strategy with your business goals.

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