A policy was introduced on 1.4.2000 for setting up of Special Economic Zones in the country with a view to provide an internationally competitive and hassle-free environment for exports. The units in the zone have to be net foreign exchange earners but they shall not be subjected to any pre-determined value addition or minimum export performance requirements. The policy provides for setting up SEZs in the public, private, joint sector or by State Governments.Women constitutes a major proportion of workforce in EPZs but unfortunately their economic importance is not recognized at all. Though the EPZs are achieving their objective of promoting exports they failed in achieving the objective of improving the welfare or working environment of weaker sections especially the women. Therefore, they need to examine the employment conditions of women workers and how the women were exploited in the units established in EPZs in general and VSEZ in particular. To make appropriate policy intervention this study is an attempt in that direction.