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Statutory Compliance 6 min read

POSH Act 2025 Board Report Mandate: What Indian HR Leaders & IC Members Must Disclose

With the recent amendments to the Companies (Accounts) Rules, POSH compliance status is no longer just an internal HR document โ€” it is a statutory disclosure in the Annual Board Report.

Author: Adv. Meenakshi Sundaram โ€” POSH Legal Advisor
Published: 12 Aug 2026

The Transition from HR File to Boardroom Disclosure

For over a decade since the enactment of the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013, many organisations treated POSH compliance as an annual operational item โ€” something tucked away in an internal HR folder until an audit or complaint arose.

That paradigm shifted decisively with the statutory updates under the Companies (Accounts) Rules. Today, every company required to constitute an Internal Committee (IC) must explicitly state in its Director's Report that it has complied with provisions relating to the constitution of the Internal Complaints Committee under the POSH Act.

Key Statutory Obligations Every HR Leader Must Audit

  • Internal Committee (IC) Constitution: Ensuring that the Presiding Officer is a woman employed at a senior level, at least half the IC members are women, and an independent external member with legal or NGO background is empanelled.
  • Mandatory Employee Sensitization (Section 19c): Conducting regular workshops and awareness programmes for all employees, plus distinct capacity-building modules for IC members.
  • Timely Annual Filing: Submitting the annual report detailing the number of complaints received, disposed of, and pending with the District Officer.

Why Empanelled Trainer Matching Matters for POSH

A generic slide deck delivered by an unqualified speaker creates severe audit liabilities. Effective POSH training requires legal accuracy, scenario-based de-escalation, nuanced handling of remote/hybrid communication channels, and concrete evidentiary standards. Working with empanelled legal practitioners and POSH certified facilitators ensures that completion certificates and attendance rosters withstand scrutiny.

Compliance is not just about avoiding penalties up to โ‚น50,000 or license revocation โ€” it is about establishing psychological safety and institutional trust across every department.

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