The Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act 2013 (POSH Act) applies to every Indian workplace with 10 or more employees — regardless of foreign ownership. Compliance is mandatory; non-compliance creates personal liability for directors and large fines. Foreign-owned subsidiaries consistently underinvest in PoSH because there's no monthly filing reminding them — until a complaint surfaces.
Applicability
- Every workplace with 10+ employees (any gender mix; the law protects women specifically but the IC constitution requirement is universal).
- All categories — full-time, part-time, contractor, intern, visitor.
- All locations — physical office, WFH, client site.
- Foreign-owned subsidiaries — no exemption.
Required elements
- Written PoSH policy — communicated to all employees, available in local language(s).
- Internal Committee (IC) — constituted as below.
- Annual training — for all employees, mandatory.
- IC member training — separate, more rigorous.
- Complaint redressal mechanism — internal email, anonymous channel.
- Annual report to the District Officer — by 31 January of next year.
- Display of relevant law information at office.
- Inclusion of PoSH reference in employment contract.
Internal Committee — composition
- Presiding Officer — senior woman employee.
- At least 2 internal members from employees committed to women's issues / experience in social work / legal knowledge.
- One external member — from an NGO or with legal expertise on women's issues.
- At least 50% of the IC must be women.
- Tenure — 3 years; can be re-constituted.
PoSH set-up bundled with FastLegal
FastLegal's HR consultant constitutes your Internal Committee (sources the external member from our partner panel), drafts the policy in the relevant languages, runs the annual training session for your team, and files the annual District Officer report. PoSH stops being a vague worry and becomes one line in your compliance calendar.
Training cadence
- Annual employee training — all employees, 1-2 hour interactive session.
- IC member training — semi-annual or annual, more in-depth.
- New-joiner training — within 30 days of joining, part of onboarding.
- Remote employee training — virtual delivery acceptable.
- Format — interactive workshop preferred over video-only.
Complaint handling process
- Complaint received in writing by IC.
- Acknowledgement within 7 days.
- Optional conciliation if both parties agree.
- Inquiry conducted — both parties heard, evidence gathered.
- Inquiry report within 90 days.
- Action on findings within 60 days of report.
- Records maintained confidentially.
- Appeal possible to State Tribunal.
Penalties for non-compliance
- ₹50,000 fine for non-constitution of IC.
- Double penalty for repeat offences.
- Cancellation of business license / registration possible for repeat violations.
- Personal liability for directors / managers.
- Reputational damage from publicised complaints — often the biggest cost.
- Lost productivity from delayed complaint resolution.
Common foreign-employer mistakes
- No PoSH policy at all — assuming foreign HQ policy substitutes (it doesn't).
- IC constituted on paper only — no actual training, no live IC members.
- External member not appointed.
- Annual report skipped because nobody filed in prior years.
- Training reduced to a 5-minute video — insufficient under the law.
- Treating PoSH as US-style 'harassment training' — different framework, different legal requirements.
Frequently asked questions
What if our subsidiary has fewer than 10 employees?+
Below 10, IC is not required, but State-level Local Committee (LC) is the channel. PoSH policy and training still recommended.
Can our US-based HR head be on the IC?+
No — IC members must be employees of the Indian establishment. Foreign HR may train or advise but can't be on the committee.
What if a male employee is the complainant?+
The POSH Act covers women specifically. Male complainants are handled under general workplace policy / IC's discretion / company harassment policy (which most foreign employers have separately).
Are we required to file the annual report if no complaints?+
Yes — annual report to District Officer required regardless. Nil report still must be filed.
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