The Maharashtra Government’s recent circular authorising inspections under the POSH Act, 2013 marks a significant compliance development for establishments employing ten or more employees. The circular empowers various government officers to conduct inspections of organisations to verify whether the provisions of the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 are being effectively implemented. The inspection mechanism has been introduced under Section 25 of the POSH Act, which permits the Government to seek information from establishments and conduct inspections regarding compliance obligations.

In light of this circular, organisations are now expected to maintain demonstrable and documented POSH compliance rather than merely having a policy on paper. One of the foremost compliance requirements is the constitution of a legally compliant Internal Committee (“IC”) in every office or branch employing ten or more persons. The IC must consist of at least four members, with at least half of the members being women, and must include an external member from an NGO or association familiar with issues relating to sexual harassment. The Presiding Officer of the IC must be a senior-level woman employee. The inspection checklist specifically verifies whether these statutory requirements have been fulfilled.

Another major requirement highlighted in the inspection checklist is the preparation and dissemination of a comprehensive POSH Policy. The policy must prohibit sexual harassment, provide complaint redressal mechanisms, and create awareness regarding employee rights and employer obligations. Organisations are also expected to display the policy prominently at the workplace and ensure that it is circulated to all employees, including interns, trainees, consultants, and contractual staff. The checklist further examines whether the organisation’s policy extends to remote and virtual work environments, thereby recognising hybrid and work-from-home arrangements as workplaces under the POSH framework.

The circular also places emphasis on complaint reporting mechanisms and victim support systems. Establishments must provide multiple channels for filing complaints, including email, written complaints, and the SHE-Box portal. Complaints are required to be acknowledged within seven working days, and confidentiality must be maintained throughout the inquiry process in accordance with Section 16 of the POSH Act. Employers must additionally ensure that no retaliatory or victimising action is taken against the complainant or witnesses during the pendency of proceedings. Interim relief measures such as transfer, leave, or other protective arrangements should also be available to the aggrieved woman wherever necessary.

Training and awareness obligations have also been specifically incorporated into the inspection framework. Organisations must conduct regular POSH awareness programmes for employees and orientation programmes for IC members. The purpose of such programmes is to sensitise employees regarding workplace conduct standards and equip IC members with the procedural knowledge necessary for handling complaints effectively and lawfully. Inspecting authorities may verify whether workshops, awareness sessions, and periodic sensitisation initiatives are being carried out in compliance with Section 19 of the POSH Act.

From a procedural perspective, employers must also ensure that inquiries are completed within ninety days and that action on the IC’s recommendations is taken within sixty days of receiving the inquiry report. Records relating to complaints, inquiry proceedings, and actions taken must be securely maintained with strict confidentiality safeguards. Additionally, organisations are expected to submit annual reports under Section 21 of the POSH Act and include POSH-related disclosures in their annual filings. The checklist also examines whether disciplinary action is taken in cases where misconduct is established and whether periodic internal compliance reviews are conducted.

An important aspect introduced through the checklist is compliance relating to the SHE-Box portal. Organisations may be required to appoint nodal officers for SHE-Box compliance, upload details of Internal Committees for head offices and branch offices, and ensure that annual reports are uploaded on the portal. This reflects the Government’s increasing focus on digital monitoring and centralised reporting mechanisms for POSH compliance.

The circular further provides that if deficiencies or violations are identified during inspections, penal action may be initiated under Section 26 of the POSH Act. Such penalties may include monetary fines and, in cases of repeated non-compliance, cancellation or non-renewal of licences or registrations. Consequently, organisations should proactively undertake internal compliance audits, update policies and committee structures, maintain documentary records, and ensure continuous employee sensitisation in order to mitigate regulatory and reputational risks arising from inspection proceedings.

Written by Adv. K. Sri Hamsa