An HR Manager of a mid-size IT company receives her first formal POSH complaint. Twirling the complaint in her hand, she thinks, what now? The company does have a POSH Committee and an Internal Committee (IC), but only on paper. But not one member of the committee has ever conducted an inquiry. The clock has already started ticking.
Here is the point most employers overlook. Firstly, the right place of the complaint is not the HR’s table, but the Internal Committee. An Internal Committee is not an HR body. It functions like a small civil court within your organization. The law that created it, the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013, gives it the real power.
This guide sets out what the Internal Complaint Committee does – its composition and member qualifications, the inquiry procedure, the recommendations, the deadlines, and the penalties for disregarding them.
The Presiding Officer is a woman employed at a senior level who leads the Internal Committee, as required by Section 4 of the POSH Act, 2013. Under the Act, the committee must have:
Thus accordingly, four members are the practical minimum, nominated for a term of up to three years (Section 4). If no senior woman employee is available in that particular unit, the Act allows nomination from another unit of the same employer.
Composition is only one half of the story. IC member training is the other half. The Act does not impose any exam or certification to qualify as an IC member. However, Section 19 read with the POSH Rules require the employer to organise orientation and capacity/skill building for members, so as to better equip them in conducting an infallible inquiry procedure. A member who falters in running a fair inquiry is more a liability than an asset.
The external member comes from either an NGO committed to women’s causes, or is someone familiar with sexual harassment issues, as mandated by Section 4(2)(c) of the Act. In the absence of an external member, the panel becomes a puppet in the hands of the employer.
The Delhi High Court highlighted this aspect in Ruchika Singh Chhabra v. M/s Air France India, 2018 SCC OnLine Del 9340 (LPA 237/2018) finding the committee improperly constituted on account of the external member not qualifying the Section 4 criteria, the Court held that the Vishaka safeguards cannot be reduced to a ritualistic formality, and set aside the findings for a fresh inquiry.
The first question employees ask is how to file a sexual harassment complaint with the Internal Committee. The answer – in writing, addressed to the IC, within three months of the incident, extendable by another three months on the satisfaction of the IC with reasons for the same recorded (Section 9). The IC’s first job is to receive it, acknowledge it, while upholding complete confidentiality.
Confidentiality is a legal duty, not a courtesy. Under Section 16, the names, addresses, and inquiry details cannot be published, and breaching this mandate is punishable. Witness protection is also equally important – No retaliatory transfers, no pay cuts, no quiet punishment of anyone who speaks up.
Before a formal inquiry, the IC must offer conciliation, provided only if the complainant asks for it. No monetary settlement can be the basis for conciliation and settlement. (Section 10). If conciliation fails, the inquiry begins. Process to be followed:
The Internal Committee holds the same powers as a civil court for summoning any person, enforcing attendance, and requiring the production of documents (Section 11(3)). In other words, “quasi-judicial” means a body that is not a court but can act like one for its inquiry.
Where harassment is proved, the IC can recommend compensation. Section 15 lists the factors that are to be considered while arriving at the compensation amount. – mental trauma and emotional distress, loss of career opportunity; medical expenses, the respondent’s income and financial status; and whether payment is lump sum or in instalments.
An employer who fails to constitute an IC or follow its duties faces a fine of up to ₹50,000 under Section 26 of the POSH Act, 2013. Repeat offences invite twice the punishment, and can lead to cancellation or non-renewal of the business licence or registration.
On the culmination of the Inquiry process, the IC is required to file an annual report with the employer and the District Officer (Section 21). Further, the IC is also tasked with undertaking preventive measures such as conducting awareness workshops and gender-sensitisation workshops.
An Internal Complaint Committee that only exists on paper is a legal risk wearing a compliance badge. This is the message running from Vishaka v. State of Rajasthan, (1997) 6 SCC 241, through to Ruchika Singh Chhabra: the mechanism must be real, not merely an HR ritual. Three steps one can on priority basis
Comply with these guidelines and the committee becomes what the Act intended: a working safeguard as opposed to a mere paper mandate.