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Compliance Alert: Gurugram Officer on POSH act Annual Report

  • Posted on February 6, 2025
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By Anuradha Gandhi and Isha Sharma

Notification issued by the Deputy Commissioner cum District Officer, Gurugram

In a recent directive, the Additional Deputy Commission- cum- District Officer of Gurugram had issued a notification emphasizing every government and non-government organizations operating in Gurugram to comply with the statutory obligations mentioned below and submit the Annual Report for the calendar year 2024 to the District Officer by February 28, 2025.

*The checklist is available on the official Gurugram district website.

This notification reiterates the legal mandate for organizations in Gurugram (including Industries, Schools, Banks, Hospitals, etc.) to establish and Internal Committee (IC) and submit their annual report in the prescribed format for the calendar year 2024 (i.e., from the period January 2024 till December 2024).

Through this circular, the District Officer further directs to submit their report pertaining to compliances under the POSH Act which includes the following:

  • Implementation of POSH Policy
    Organizations must adopt a POSH Policy to create a gender-sensitive, harassment free workplace, outlining the meaning of sexual harassment and the redressal mechanism available.

    *A copy of the POSH Policy is to be submitted along with the Annual Report.

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  • Inclusion of Sexual Harassment as Misconduct
    The notification highlights that organizations must ensure sexual harassment is explicitly listed as a form of misconduct under employment contracts, service rules or standing orders, as the case may be. This aims to ensure that employees are aware of the disciplinary consequences of engaging in sexual harassment.
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  • Constitution of Internal Committee
    Under Section 4 of the POSH Act, every organization having 10 or more employees is legally required to constitute a committee known as an Internal Committee (IC) to address complaints pertaining to sexual harassment at workplaces. This committee so constituted must meet the eligibility criteria as specified under the law.

    *A copy of the order showing constitution of the IC is to be submitted along with the Annual Report.

    Failing to constitute an IC renders an organization non-compliant with the law, attracting penalties under Section 26 of the Act. For instance, in the case of Global Hospital Private Limited vs. Local Complaints Committee, District Indore and Others, the Hon’ble Madhya High Pradesh High Court imposed a hefty penalty of INR 50,000 for non-constitution of the IC.

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  • Display of Notices and IC Information
    In accordance with the provision of Section 19(b) of the POSH Act, employers must prominently display at prominent places in the workplace:

    1. Information about organization’s stance on sexual harassment and the consequences of indulging in such acts;
    2. Information about the members of IC (in Hindi, English and regional language) so that employees and staff can reach out to them.

    Non-compliance may indicate organizational negligence in implementing preventive measures.

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  • Awareness and Sensitization Programmes
    In accordance with the provision of Section 19(c) of the POSH Act, it is mandatory for organizations to organize workshops and awareness programmes at regular intervals for sensitizing the employees with the POSH Act.
    Key Questions for Compliance Evaluation include:

    1. Have these programmes covered all categories of employees including contractual staff (security guards, housekeeping staff, labourers, drivers, etc.)
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  • Support Mechanisms for Victims
    1. Have all employees been made aware of their rights under the POSH Act?
    2. Has the organization provided support mechanisms for victims, such as providing assistance in filing complaints or extending psychological counselling and medical aid, if required?

    Organization failing to conduct such programmes may result in violation of Section 19 of the POSH Act.

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  • Capacity Building Programmes
    In accordance with the provision of Section 19(c) of the POSH Act, it is equally mandatory for organizations to organize orientation programmes and skill-building sessions for IC Members. Failing which may result in contravention of provision of the POSH Act.

    *Details of IC Meeting and minutes of the meeting must be properly maintained for record purposes.

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  • Report under Companies Act
    In accordance with the provision of Rule 8 of the Companies (Accounts) Rules, 2024 organizations are required to include a specific declaration that the company has complied with the provisions relating to constitution of Internal Committee under the POSH Act, 2013.

    *An extract of this report is to be submitted along with the Annual Report.

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  • Annual Report
    The IC is required to submit an annual report containing necessary details of sexual harassment case proceedings to the employer and the concerned District Officer.Details to be included in the Annual Report:

    1. Number of complaints of sexual harassment received in the year;
    2. Number of complaints disposed off during the year;
    3. Number of complaints pending for more than ninety days (along with reasons for delay)
    4. Number of workshop or awareness programme against sexual harassment carried out;
    5. Nature of action taken by employer or District Officer
  • Non-Compliance

    Non-compliance with this requirement may result in penalties under Section 26 of the POSH Act, including fines extending up to INR 50,000 on every employer and in case of repeated violations, strict action shall be initiated against the organization.

    Conclusion:

    The said notification from the District Officer of Gurugram underscores the mandatory nature of POSH Compliances.

    While the notification specifically addresses organizations in Gurugram, it serves as a crucial reminder for all organizations across India to ensure full compliance with the POSH Act. Ensuring compliance not only fulfills legal obligations but shall also aid in fostering a safe and inclusive working environment for all employees.

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    Surbhi Gandotra, Associate Advocate at S.S. Rana & Co. has assisted in the research of this article.