How to Set Up an Internal Complaints Committee Under the POSH Act in India

Kaustav Chowdhury
Jul 11
4 min read

Updated: Jul 17

The Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 (POSH Act) requires every employer with 10 or more employees to constitute an Internal Complaints Committee (ICC) to receive, investigate, and resolve complaints of sexual harassment at the workplace. This guide explains the composition requirements, the setup process, and the ongoing compliance obligations.

Who Must Set Up an ICC?

Every organisation, whether in the private or public sector, that has 10 or more employees must constitute an ICC. The term 'employee' under the POSH Act is broadly defined and includes regular, temporary, ad hoc, and contractual workers, as well as interns, apprentices, and volunteers. Employers who fail to constitute an ICC face a fine of up to Rs 50,000 for the first breach, with the penalty doubling for subsequent violations. Repeated non-compliance can also lead to cancellation of the business licence.

Composition of the ICC

The ICC must have a minimum of four members. The Presiding Officer must be a senior woman employee of the organisation. At least two internal members should be employees who are committed to the cause of women or have experience in social work or legal knowledge. One external member must be from a non-governmental organisation or association committed to the cause of women, or a person familiar with issues relating to sexual harassment. Under Rule 4 of the POSH Rules, 2013, the external member should have at least five years of experience in women's empowerment or related fields, or familiarity with labour, service, civil, or criminal law.

At least half of the total ICC members, including the Presiding Officer, must be women. Members are appointed for a term of up to three years.

Step-by-Step Setup Process

Step 1: Identify eligible members within your organisation who meet the requirements for the Presiding Officer and internal member roles. Reach out to local NGOs, women's commissions, or legal practitioners to identify a suitable external member.

Step 2: Issue a formal order of constitution, naming all ICC members, their designations, and the date of appointment. The order should be signed by the employer or a senior management representative.

Step 3: Draft and adopt a comprehensive workplace anti-harassment policy that outlines what constitutes sexual harassment, the complaint procedure, timelines for inquiry, and the consequences of proven misconduct.

Step 4: Display the names and contact details of ICC members prominently at the workplace. Include the information in employee handbooks and onboarding materials.

Step 5: Conduct mandatory awareness and training sessions for all employees, including ICC members. ICC members should receive specialised training on inquiry procedures, evidence handling, and the legal framework.

Ongoing Compliance

The ICC must prepare an annual report and submit it to the employer and the District Officer. The report should include the number of complaints received, the number resolved, cases pending for more than 90 days, actions taken, and details of training sessions conducted during the year.

For related guidance on labour law compliance and recovering unpaid salary, see our other articles.

Common Mistakes in ICC Setup

One of the most frequent compliance failures is constituting the ICC without the mandatory external member. The POSH Act requires that the ICC include at least one external member from an NGO or an association committed to the cause of women, or a person familiar with issues relating to sexual harassment. Without this member, the ICC is improperly constituted and its findings may be challenged in court.

Another common error is treating the ICC formation as a one-time exercise. The composition of the ICC must be reviewed periodically, as members may leave the organisation or their terms may expire. The Act prescribes a maximum term of three years for ICC members, after which the committee must be reconstituted. Organisations should maintain records of ICC appointments, term durations, and reconstitution dates to ensure continuous compliance.

Training is another area where organisations frequently fall short. The POSH Act mandates that employers organise awareness programmes at regular intervals. ICC members, in particular, must be trained in complaint handling procedures, principles of natural justice, the distinction between sexual harassment and other workplace issues, and the confidentiality requirements of the Act. Untrained ICC members may conduct flawed inquiries that can be overturned by courts or appellate authorities.

Finally, organisations must display information about the ICC's composition, the complaint filing process, and the consequences of sexual harassment at conspicuous places in the workplace. This display requirement extends to digital workplaces as well, where information should be accessible on the company intranet or shared workspace platforms. Non-compliance with the display requirements can attract penalties under the Act.

Employers with multiple offices or branch locations should note that a separate ICC must be constituted for each office or branch where ten or more employees are regularly employed. Centralising the ICC at the head office alone does not satisfy the statutory requirement, as the Act contemplates accessible grievance redressal at every workplace. For organisations with fewer than ten employees at a location, complaints can be directed to the Local Committee constituted by the District Officer.