The Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 (“PoSH Act”) has been enacted to provide protection against sexual harassment of women at the workplace and to establish a framework for the prevention and redressal of such complaints, along with matters incidental thereto.
The Act is founded on the principle that sexual harassment constitutes a violation of the fundamental rights of women, including the right to equality under Articles 14 and 15 and the right to life and dignity under Article 21 of the Constitution of India. It also impacts a woman’s right to practice any profession or to carry on any occupation, trade, or business in a safe and secure environment.
In alignment with the Companies Act, 2013, organizations are required to implement appropriate measures, policies, and procedures to prevent, prohibit, and effectively address the workplace sexual harassment.
Applicability
The PoSH Act applies to all workplaces across India, including private limited companies of any size. Organizations employing 10 or more employees must constitute an Internal Complaints Committee (ICC), while those with fewer employees are required to implement appropriate policies and awareness measures.
Definition of Employee
Under Section 2(f) of the PoSH Act, the term “employee” is broadly defined to includes:
• Permanent, temporary, contractual, and ad hoc employees.
• Interns, trainees, apprentices, and consultants.
• Part-time and work-from-home employees.
Definition of Employer
Under Section 2(g) of the PoSH Act, the term “employer” is defined as:
• the head of the department, organization, or unit, or any other officer designated by the appropriate Government or local authority through an official order.
• Any person responsible for the management, supervision, and control of a workplace in the private sector, including boards or committees.
• Any person responsible for fulfilling contractual obligations towards employees.
• In case of a household, any person or family employing a domestic worker.
Definition of Sexual Harassment
Under Section 2(n) of the PoSH Act, the term “Sexual Harassment” is defined as:
Sexual harassment includes any unwelcome act or behaviour such as:
• Physical contact and advances
• Demand or request for sexual favours
• Sexually coloured remarks
• Showing pornography
• Any other unwelcome physical, verbal, or non-verbal conduct.
The Act also recognizes hostile work environment situations, including:
• Threats affecting employment
• Interference with work
• Humiliating or unsafe conditions
Compliance Requirements
For Organizations with 10 or More Employees –
Companies are required to constitute an Internal Complaints Committee (ICC) in accordance with Section 4 of the Act.
Committee Requirement
Presiding Officer A senior-level woman employee at the workplace. If not available, she may be nominated from another office, administrative unit, or any other workplace of the same employer.
Employee Members At least two members from among employees, preferably committed to the cause of women or having experience in social work or legal knowledge.
External Member One member from an NGO or association committed to the cause of women, or a person familiar with issues relating to sexual harassment.
Gender Requirement At least 50% of the total members of the ICC shall be women.
Companies are required to implement a comprehensive PoSH policy, conduct regular training and awareness programs, ensure confidential and timely handling of complaints, and maintain records with proper reporting of complaints and their status.
For Organizations with Less Than 10 Employees –
Companies are required to:
• Implement a PoSH Policy
• Conduct awareness and training programs
Corporate Accountability through Reporting
In July 2025, the Ministry of Corporate Affairs amended the Companies (Accounts) Rules, 2014 through the Companies (Accounts) Second Amendment Rules, 2025, mandating detailed disclosures on sexual harassment in the Board’s Report, effective from July 14, 2025.
Under the revised Rule 8(5), every company is required to disclose:
• The number of sexual harassment complaints received during the financial year
• The number of cases disposed of during the year
• The number of complaints pending for more than 90 days
• The gender composition of employees
This amendment integrates PoSH compliance into corporate governance and public accountability, requiring companies to move beyond mere policy adoption and demonstrate effective implementation through data transparency. The evolving compliance framework emphasizes transparency through systematic reporting, accountability through a functional and well-documented ICC, and sensitivity through continuous training and awareness initiatives.
Annual Reporting & Statutory Compliance
In accordance with Sections 21 to 25 of the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013, the Internal Complaints Committee (ICC) is required to prepare an Annual Report and submit it to the employer and the District Officer.
The employer must disclose details of complaints and their disposal in the organization’s annual report or intimate the same to the District Officer. The appropriate Government has the power to call for information, inspect records, and review compliance. Employers and District Officers are required to furnish necessary information and produce relevant records when required.
WHO IS A DISTRICT OFFICER (DO)?
State Governments will notify a District Magistrate/Additional District Magistrate/ Collector/ Deputy Collector as a District Officer at the local level. The District Officer will be responsible for carrying out the powers and functions under the Act at the district levels (including every block, taluka, tehsil, ward, and municipality).
The District Officer shall forward a brief report on the annual reports received to the appropriate State Government in accordance with Section 21(2). The report of the Internal Committee is submitted to the District Officer through the employer.
Complaint Handling & Redressal Process
Complaints of sexual harassment are required to be filed by the aggrieved woman with the ICC constituted within the organization. In cases where the organization has fewer than 10 employees, or where the complaint is against the employer, the complaint may be filed with the Local Committee (LC) established by the District Officer.
• Employees may file complaints within 3 months of the incident (extendable by another 3 months at the discretion of the ICC).
• The ICC must initiate an inquiry within 7 days and complete the inquiry within 90 days.
• Submission of Report by ICC to employer/DO Within 10 days of completion of the inquiry
• Employer shall act on ICC recommendations within 60 days.
• Appeal may be filed within 90 days from recommendations.
• If allegations are proven, the company must take appropriate action, including penalties, warnings, termination, or compensation to the victim.
Penalties for Non-Compliance
Section 26 of the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 provides penalties for non-compliance by employers. It covers both initial procedural failures and the consequences of repeated violations.
An employer is punishable with a fine of up to ₹50,000 under Section 26(1) if they fail to:
• Constitute an Internal Complaints Committee (ICC)
• Take action on the recommendations made by the Internal Complaints Committee (ICC).
• Comply with Reporting Requirements, such as failing to file the mandatory Annual Report with the District Officer or include disclosure in the Board’s report.
• Contravene any other provisions of the Act or the rules made thereunder.
In Case of Repeated Non-Compliance:
• Twice the punishment or higher punishment if prescribed under any other law for the same offence.
• Cancellation/Withdrawal/Non-renewal of registration/license required for carrying on business or activities.
Conclusion
The Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 provides a statutory framework for the prevention, prohibition, and redressal of sexual harassment at the workplace. The Act mandates employers to ensure a safe and secure working environment and to comply with prescribed obligations, including the constitution of an Internal Complaints Committee (ICC), implementation of policies, and adherence to procedural requirements for handling complaints.
The Act further emphasizes the responsibility of employers to maintain workplace standards aligned with principles of equality, dignity, and non-discrimination, supported by appropriate governance practices, awareness initiatives, and effective grievance redressal mechanisms in accordance with the provisions of the Act.
