The Prevention of Sexual Harassment (POSH) Act, 2013 is one of the most important pieces of legislation governing Indian workplaces — and one of the most inconsistently implemented. Despite being over a decade old, many organisations still treat POSH compliance as a checkbox exercise rather than a genuine commitment to workplace safety. In 2026, with increasing regulatory scrutiny and employee awareness, that approach is no longer adequate.
This guide covers everything employers and HR professionals need to know about POSH compliance in India — what the law requires, what most companies get wrong, and what you must do to be genuinely compliant.
What Is the POSH Act?
The Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 — commonly known as the POSH Act — mandates that every employer in India must provide a safe working environment free from sexual harassment for all women employees.
The Act applies to all workplaces — organised and unorganised sectors, government and private establishments, NGOs, educational institutions, hospitals, and domestic workers. There is no minimum employee threshold for the Act to apply. If you have even one woman employee, the POSH Act applies to your organisation.
Who Is Covered Under the POSH Act?
Complainants: The Act covers all women — employees (permanent, temporary, contractual, part-time, daily wage), interns, trainees, apprentices, and even visitors or clients who face harassment at the workplace.
Respondents: The Act covers any person — male or female — against whom a complaint of sexual harassment is made. While the Act is designed to protect women, the respondent can be of any gender.
Workplace definition: The definition is broad. It includes the office premises, any place visited by an employee in connection with work (client sites, offsite meetings, work travel), and any virtual/digital communication channels used for work purposes.
What Constitutes Sexual Harassment Under the POSH Act?
The Act defines sexual harassment to include any of the following unwelcome acts or behaviour:
— Physical contact and advances
— A demand or request for sexual favours
— Making sexually coloured remarks
— Showing pornography
— Any other unwelcome physical, verbal, or non-verbal conduct of a sexual nature
The Act also covers implied or explicit promises of preferential treatment, threats of detrimental treatment, humiliating conduct affecting health or safety, and creating a hostile work environment.
The Internal Committee (IC) — Your Most Important Compliance Obligation
Every organisation with 10 or more employees must constitute an Internal Committee (IC) — formerly called the Internal Complaints Committee (ICC). This is the single most important compliance requirement under the Act.
IC Composition:
— A Presiding Officer who must be a woman employed at a senior level
— At least two members from among employees who are committed to the cause of women or have experience in social work or legal knowledge
— One external member from an NGO or association committed to the cause of women or a person familiar with issues related to sexual harassment
At least half the IC members must be women. IC members serve a term of three years and can be reappointed.
What HR must do: Constitute the IC formally through a written order signed by the head of the organisation. Ensure all IC members receive training on the POSH Act and inquiry procedures. Display the names and contact details of IC members in a prominent location in the workplace.
The Local Committee (LC)
For organisations with fewer than 10 employees, or for complaints against the employer themselves, the complaint goes to the Local Committee (LC) constituted by the District Officer under the Act. HR teams in smaller organisations must be aware of the LC in their district and display their contact details.
Annual Report — A Frequently Missed Requirement
The IC must prepare an annual report and submit it to the employer and the District Officer. The annual report must include:
— Number of complaints received during the year
— Number of complaints disposed of
— Number of cases pending for more than 90 days
— Number of workshops or awareness programmes conducted
— Nature of action taken by the employer
The employer must then include this information in their annual report (for companies required to file one). This requirement is frequently overlooked even by organisations that have constituted an IC.
POSH Compliance Checklist for HR 2026
Policy:
— Written POSH policy drafted and approved by senior management
— Policy clearly defines sexual harassment and the complaint process
— Policy displayed prominently at the workplace (physical notice boards and intranet)
— Policy communicated to all employees at the time of joining
Internal Committee:
— IC formally constituted with a written order
— IC composition meets legal requirements (at least 50% women, external member)
— IC member terms are current and documented
— IC members have received POSH training
— IC contact details displayed at workplace
Awareness and Training:
— Annual POSH awareness workshop conducted for all employees
— Separate training for IC members on inquiry procedures
— New employee induction includes POSH training
— Managers trained on their responsibilities under the Act
Complaint Process:
— Written complaint process documented and communicated
— Complaint timelines clearly defined (complaint within 3 months of incident, inquiry within 90 days)
— Conciliation process documented (available before formal inquiry if requested by complainant)
— Interim relief provisions documented (leave, transfer options during inquiry)
Annual Compliance:
— IC annual report prepared and submitted
— Annual report data included in company annual report where applicable
— IC reconstitution done if any member's term has expired
The Inquiry Process — What HR Must Know
When a complaint is received, the IC must:
Within 7 days: Provide a copy of the complaint to the respondent and ask for a written response within 10 working days.
Within 90 days: Complete the inquiry and submit the inquiry report with findings and recommendations to the employer.
Within 10 days of receiving the report: The employer must act on the recommendations.
Both parties must be given a fair opportunity to present their case. The inquiry must be conducted with principles of natural justice — the respondent cannot be punished without being heard.
The complainant and respondent are allowed to bring a person of their choice to the proceedings — but neither party can bring a lawyer without the IC's permission.
Penalties for Non-Compliance
For failure to constitute an IC: A fine of up to ₹50,000 for the first offence. Repeat offences can result in double the fine and cancellation of business licences or registration.
For failure to act on IC recommendations: The employer can be held liable under the Act.
For false complaints: The Act also provides action against false or malicious complaints — though this must be proven and cannot be used to discourage genuine complainants.
Common POSH Compliance Mistakes
IC constituted on paper only: Many organisations form an IC but never train the members, never hold meetings, and treat it as a formality. An IC that cannot conduct a proper inquiry is worse than useless — it creates liability.
No external member: The external member is a legal requirement, not optional. An IC without an external member is non-compliant.
Annual report not filed: This is one of the most consistently missed requirements. The annual report is mandatory even if there were zero complaints during the year.
Policy not updated: Many organisations are still using POSH policies drafted in 2013-2015 that don't reflect current best practices or the expanded definition of workplace.
No digital workplace coverage: With hybrid and remote work now standard, POSH policies must explicitly cover digital communication channels — email, messaging apps, video calls, and social media used for work.
Frequently Asked Questions
Q: Does the POSH Act apply to male employees who face harassment?
A: The POSH Act specifically protects women. However, many organisations extend similar protections to all genders through their internal policy. Male employees facing harassment can seek recourse under other legal provisions.
Q: What if the complaint is against the head of the organisation?
A: In this case, the complaint goes to the Local Committee (LC) constituted by the District Officer — not the Internal Committee.
Q: Can a woman file a POSH complaint after leaving the company?
A: Yes — a complaint can be filed within 3 months of the last incident. If the woman has left the organisation, she can still file a complaint. The IC is required to conduct the inquiry.
Q: Is POSH training mandatory?
A: The Act requires employers to organise workshops and awareness programmes at regular intervals. While the frequency is not prescribed, annual training is considered best practice and is expected by regulators.
Q: What action can the IC recommend?
A: The IC can recommend written apology, warning, reprimand, censure, withholding of promotion or increment, termination, undergoing counselling, or community service. The employer is bound to act on these recommendations within 60 days.
For ready-to-use POSH policy templates, IC constitution formats, and complaint procedure documentation, visit our Stores and Services page.
Related reading: Top 10 HR Compliance Mistakes Indian Companies Make in 2026
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