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Supreme Court mandates Survey of Organizations with 10 or more employees to ensure sexual compliance!
The Labour Department, Delhi has issued directions following the Supreme Court’s Order in Aureliano Fernandes versus State of Goa, mandating a survey of Organizations with 10 or more employees to ensure compliance with the Sexual Harassment of Women at Workplace Act, 2013.
Original publication: 2025-10-09
Supreme Court Mandates Survey of Organisations (10+ Employees) to Ensure Sexual Harassment Compliance
Following Aureliano Fernandes vs State of Goa, the Labour Department, Delhi has directed District Officers, Labour Commissioners, and Industrial Safety Authorities to initiate compliance surveys. Data (including POSH returns) must be shared with District Magistrates within 10 days.
MCA – New Board’s Report Disclosures (Effective 14 July 2025)
- Confirmation that a legally compliant Internal Committee (IC) is constituted.
- Total number of POSH complaints received during the financial year.
- Number of complaints resolved during the year.
- Number of cases pending > 90 days.
- Gender composition of employees at year end.
These disclosures align POSH with corporate governance & public accountability under Section 134 of the Companies Act, 2013.
What the Supreme Court-Driven Survey Means for Employers
All organisations with 10 or more employees fall within the survey ambit.
District Officers/Labour Commissioners will seek POSH returns & records for verification.
Expect stricter scrutiny of IC constitution, inquiry timelines, and closure quality.
POSH Compliance – Rapid Readiness Checklist
- Constitute/refresh Internal Committee (IC) (tenure, quorum, external member).
- Publish Policy & IC details on intranet/notice boards; share with all employees.
- Set up secure complaint channels (email, portal) & SOPs for acknowledgement.
- Train IC on inquiry procedures, natural justice, confidentiality, timelines.
- Conduct employee awareness & bystander intervention training.
- Maintain registers/records: complaints, minutes, actions, closures.
- Track and report >90-day pendency; document reasons and remedies.
- Disclose AOC-4 Board’s Report items (where applicable).
- Ensure non-retaliation & support for complainants/witnesses.
- Vendor/contractor alignment on POSH clauses & onboarding sign-offs.
Non-Compliance – Consequences
Organisations with 10+ employees that fail to meet POSH Act and new disclosure requirements may face:
- Fines up to ₹3,00,000 and up to ₹50,000 per defaulting officer.
- In cases of repeated violations, potential cancellation of business registration/license.
From Compliance to Governance
Embedding POSH into Companies (Accounts) Rules signals a paradigm shift—workplace safety is a board-level responsibility. The Supreme Court-driven survey underscores that safeguarding women at work is not just a legal checkbox; it is core to responsible corporate conduct.
Karma Global – End-to-End POSH Enablement
From IC constitution and policy drafting to awareness programs, inquiry hand-holding, records, and MCA-ready disclosure packs—Karma Management deploys POSH frameworks across pan-India locations.
Contact: marketing@karmamgmt.com© Karma Management Global Consulting Solutions Pvt. Ltd.