Every Indian company with 10 or more employees is legally required to protect women from sexual harassment at work, and most HR teams only discover the details when a complaint or an audit forces them to. The POSH Act sets out exactly what an employer must do, from forming an Internal Committee to acting on complaints within fixed timelines. This guide explains the POSH Act 2013 in plain terms, with the rules, the complaint process, employer duties, and the penalties for getting it wrong.
- Who it covers: The POSH Act protects women at every workplace from sexual harassment, whether they are regular, contractual, or intern staff.
- 10 employee rule: Any employer with 10 or more employees must set up an Internal Committee.
- Committee make-up: The Internal Committee needs at least 4 members, led by a senior woman, with one external expert and at least half women.
- Fixed timelines: A complaint is filed within 3 months, the inquiry finishes within 90 days, and the employer acts within 60 days.
- Penalty: Non-compliance attracts a fine of up to Rs 50,000, and a repeat offence can cancel your business licence.
- Employer duty: You must also run awareness sessions, display the committee details, keep complaints confidential, and file an annual report.
What Is the POSH Act?
The POSH Act is the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013. POSH stands for Prevention of Sexual Harassment. It gives every woman a legal right to a workplace free from sexual harassment, and it places clear duties on employers to prevent and address it.
The law grew out of the Supreme Court’s Vishaka Guidelines of 1997, which first set rules for handling workplace harassment. The 2013 Act turned those guidelines into binding law that applies across offices, factories, shops, and any place an employee visits for work.
What Counts as Sexual Harassment Under POSH
The Act defines sexual harassment broadly, so it covers far more than physical acts. Any one of the following, when unwelcome, can amount to sexual harassment:
- Unwelcome physical contact or advances.
- A demand or request for sexual favours.
- Sexually coloured remarks.
- Showing pornography.
- Any other unwelcome physical, verbal, or non-verbal conduct of a sexual nature.
The test is whether the conduct was unwelcome to the woman, not whether the other person intended harm. This is why clear policies and training matter so much.
Who Must Comply With the POSH Act?
Compliance depends on your headcount, but the protection itself applies everywhere.
An employer with 10 or more employees must set up an Internal Committee, often called the IC. If your company has fewer than 10 employees, or if the complaint is against the employer itself, the complaint goes to the Local Committee constituted by the District Officer for that area. Either way, no workplace is exempt from the law.
Internal Committee (IC): Composition and Role
The Internal Committee receives and inquires into complaints. Its make-up is fixed by the Act to keep it fair and independent.
| Member | Who They Are | Requirement |
|---|---|---|
| Presiding Officer | A senior woman employee | Must be a woman at a senior level in the workplace |
| Two members (minimum) | Employees committed to the cause of women, or with social work or legal knowledge | From among the employees |
| One external member | A person from an NGO or association working for women, or familiar with sexual harassment issues | Independent of the company |
At least half of the Internal Committee members must be women, and the committee holds office for up to three years. The external member is a legal requirement, not an option, and leaving them out is one of the most common compliance failures.
The POSH Complaint and Inquiry Process
The Act sets strict timelines so complaints are not left hanging. Every stage has a deadline.
| Stage | Timeline |
|---|---|
| File a written complaint | Within 3 months of the incident, extendable by 3 more months for good reason |
| Complete the inquiry | Within 90 days of receiving the complaint |
| Employer acts on the recommendation | Within 60 days of the committee’s report |
The woman may also request conciliation before a formal inquiry, though no monetary settlement can be the basis of it. Throughout the process, the identity of everyone involved must stay confidential. A woman can also file her complaint through the government’s SHe-Box online portal.
Employer Duties Under the POSH Act
Section 19 of the Act lists what every employer must do, beyond simply forming the committee. Missing any of these is non-compliance even if no complaint has ever been raised.
- Provide a safe environment: Protect employees from sexual harassment at the workplace.
- Have a POSH policy: Put a written anti-sexual harassment policy in place and share it. A clear HR policy is the natural home for it.
- Form and display the IC: Set up the Internal Committee and display its members and contact details prominently.
- Run awareness sessions: Conduct regular training and orientation so employees know their rights and the process.
- Support the inquiry: Provide the committee with what it needs and assist the woman if she chooses to file a criminal complaint.
- Keep it confidential: Protect the identity of the complainant, the respondent, and witnesses.
- File an annual report: Submit a yearly report to the District Officer on complaints received and resolved.
Penalties for Non-Compliance
The cost of ignoring the POSH Act is real. Failure to constitute the committee, or breaching any duty under the Act, attracts a fine of up to Rs 50,000 for the first offence. A repeat offence can bring a higher penalty and the cancellation of your business licence or registration.
The bigger risk is often reputational and legal. A mishandled complaint can lead to litigation, regulatory scrutiny, and lasting damage to your employer brand, which costs far more than the fine itself.
POSH Compliance Checklist for Delhi NCR Employers
If your business runs in Delhi, Noida, Gurugram, or Faridabad, use this quick checklist to confirm you are covered:
- Confirm your headcount and whether the 10 employee rule applies.
- Constitute a valid Internal Committee, including the external member.
- Publish a written POSH policy and add it to your onboarding, alongside your employee onboarding checklist.
- Display the committee members and complaint process where staff can see them.
- Run at least one awareness session a year for all employees.
- Keep records confidential and file the annual report with the District Officer.
POSH sits alongside your other statutory duties, so it is worth reviewing it together with the wider labour laws in Delhi that apply to your workplace.
Final Word
The POSH Act is not optional paperwork. For any employer with 10 or more people, a valid Internal Committee, a clear policy, regular awareness, and honest timelines are the law. Getting them right protects your employees first, and your company from a fine or a lawsuit second.
The practical challenge is keeping policies, training records, and committee details current as your team grows. When your HR documents and onboarding run on HR automation instead of scattered files, POSH compliance becomes one more process that is always ready for an audit rather than a scramble.
Frequently Asked Questions
What is the POSH Act?
The POSH Act is the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013. It gives women a legal right to a workplace free from sexual harassment and places clear prevention and redressal duties on employers.
What is the full form of POSH?
POSH stands for Prevention of Sexual Harassment. It is the common short name for the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013, which is based on the Supreme Court’s Vishaka Guidelines of 1997.
Is the POSH Act mandatory for all companies?
The protection applies to every workplace, but the Internal Committee requirement kicks in at 10 or more employees. Companies with fewer than 10 employees are still covered, with complaints going to the district Local Committee instead of an in-house committee.
How many members are in an Internal Committee under POSH?
An Internal Committee needs at least four members: a senior woman as Presiding Officer, two employee members committed to women’s welfare or with legal or social knowledge, and one external member from an NGO or with relevant expertise. At least half must be women.
What is the time limit to file a POSH complaint?
A written complaint must be filed within three months of the incident, or the last incident in a series. The Internal Committee can extend this by another three months if the woman shows sufficient reason for the delay.
What is the penalty for not following the POSH Act?
Non-compliance, such as failing to form the Internal Committee or breaching a duty under the Act, attracts a fine of up to Rs 50,000 for the first offence. A repeat offence can bring a higher penalty and cancellation of the business licence or registration.
Does the POSH Act protect men?
No. The POSH Act 2013 protects women only. Complaints of harassment by men are handled through company policy or other laws, not the POSH Act. Many employers still adopt a gender-neutral internal policy as good practice, while keeping the statutory POSH process for women.
What happens in companies with fewer than 10 employees?
A company with fewer than 10 employees does not have to form an Internal Committee, but it is still covered by the Act. A woman there files her complaint with the Local Committee set up by the District Officer, which handles the inquiry in place of an in-house committee.
