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PoSH Act, 2013: Compliance Is Not Optional—It’s a Legal and Cultural Responsibility

A Practical Guide for Employers, HR Leaders, and Founders

The Prevention of Sexual Harassment (PoSH) Act, 2013, is one of India’s most significant workplace legislations. Enacted to ensure safe, inclusive, and dignified work environments—especially for women—it places clear legal responsibilities on employers.


Yet, more than a decade later, PoSH non-compliance remains widespread. Startups, MSMEs, educational institutions, and even large corporates continue to treat PoSH as a checkbox exercise rather than a statutory and ethical obligation.


This oversight comes at a high cost—legal, reputational, and cultural.


What Is the PoSH Act?

Formally known as the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013, the PoSH Act was enacted to:

  • Prevent sexual harassment at workplaces

  • Provide a structured redressal mechanism

  • Promote a safe, respectful, and equitable work environment


The Act applies to all workplaces in India, including corporates, government bodies, startups, factories, schools, hospitals, NGOs, domestic workplaces, and even gig and platform-based work environments.


Who Must Comply With the PoSH Act?

PoSH compliance is mandatory for:

  • All employers with 10 or more employees, irrespective of gender

  • All sectors—IT, manufacturing, services, education, retail, healthcare, and more

  • All categories of workers—full-time, part-time, interns, consultants, freelancers, gig workers, and domestic help


Remote or hybrid organisations and companies operating out of co-working spaces are not exempt. If work is connected to employment, PoSH applies.


What Constitutes Sexual Harassment Under PoSH?

The Act defines sexual harassment broadly under Section 2(n). It includes:

  • Unwelcome physical contact or advances

  • Demands or requests for sexual favours

  • Sexually coloured remarks

  • Showing pornography

  • Any other unwelcome verbal, non-verbal, or physical conduct of a sexual nature


Harassment can occur between any genders and at any place connected to work, including off-sites, client locations, office parties, work travel, and virtual meetings.


Employer’s Legal Responsibilities Under PoSH

The PoSH Act places the primary responsibility on the employer to prevent, prohibit, and redress sexual harassment.


1. Constitution of an Internal Committee (IC)

  • Minimum 4 members

  • Presiding Officer must be a senior woman employee

  • At least 50% of the committee must be women

  • One external member from a legal background or NGO working on women’s issues

  • Committee must be reconstituted every three years


2. Drafting and Circulation of a PoSH Policy

The policy must clearly outline:

  • Definitions of sexual harassment

  • Complaint process and timelines

  • Roles and responsibilities of employees and employer

  • Powers and procedures of the IC

The policy must be displayed prominently and shared with all employees.


3. Annual Training and Awareness

  • Mandatory PoSH awareness training for all employees

  • Specialised training for managers and IC members

  • Coverage of bystander intervention, reporting mechanisms, and rights


4. Filing of Annual Report

The IC must submit an annual report to the District Officer detailing:

  • Number of complaints received, resolved, and pending

  • IC composition

  • Awareness initiatives conducted

Failure to file this report can attract penalties and affect licensing, funding, and regulatory approvals.

Internal Committee: Structure and Powers

The Internal Committee is the backbone of PoSH implementation.

Composition

  • Presiding Officer: Senior woman employee

  • Two internal members with social, legal, or gender-sensitisation experience

  • One external member (lawyer or NGO professional)

Powers of the IC

  • Summon and examine witnesses

  • Call for documents

  • Maintain confidentiality

  • Recommend disciplinary action, including warning, salary deduction, or termination

Employers must implement IC recommendations within 60 days.

Consequences of Non-Compliance

PoSH compliance is not optional. The law is explicit.

Penalties include:

  • Fine up to ₹50,000 under Section 26

  • Cancellation of business licence or registration

  • Disqualification from government tenders

  • Reputational damage and employee attrition

  • Constitutional litigation under Articles 14, 15, and 21

In several instances, courts and District Officers have initiated action suo motu upon discovering non-compliance.


Case Study: What Went Wrong?

Case: A mid-sized private hospital in South India faced scrutiny after a junior staff member reported persistent inappropriate comments by a senior consultant. The organisation had over 200 employees but had never constituted an Internal Committee or conducted PoSH training.

With no internal mechanism available, the complainant approached the Local Committee under the District Officer. The inquiry revealed systemic non-compliance—no policy, no training records, and no reporting process.


Outcome:

  • Monetary penalty imposed

  • Mandatory constitution of an IC under supervision

  • Public scrutiny affecting patient trust and recruitment


Lesson:Ignoring PoSH compliance doesn’t make issues disappear—it escalates them. Absence of systems exposes organisations to legal action, reputational loss, and cultural breakdown.


PoSH Compliance Checklist

Use this checklist to assess your organisation’s readiness:

  • PoSH policy drafted and circulated

  • Internal Committee constituted and notified

  • External member appointed with formal agreement

  • Employee awareness training conducted

  • IC training completed

  • Complaint mechanism established (email or portal)

  • Annual report filed with District Officer

  • Policy displayed on website, intranet, or notice board

PoSH in the Age of Remote Work

The definition of “workplace” has evolved.

  • Virtual harassment through messages or video calls is actionable

  • IC hearings can be conducted virtually

  • Awareness materials must be digitally accessible

  • Remote employees must receive PoSH training

Workplace safety today is defined by employment connection, not physical location.

PoSH for Startups and MSMEs

If your organisation has 10–15 employees, PoSH still applies.

Compliance cannot be postponed until growth or funding. Early implementation:

  • Builds trust

  • Signals ethical leadership

  • Protects founders from personal liability

  • Strengthens long-term culture

Conclusion

PoSH compliance is not merely about avoiding penalties. It is about creating workplaces where dignity, safety, and respect are non-negotiable.

When organisations take PoSH seriously, they don’t just comply with the law—they earn trust, retain talent, and build sustainable cultures.

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