MANDATORY POSH DISCLOSURES IN BOARD REPORT
The Ministry of Corporate Affairs (MCA) has amended the Companies (Accounts) Rules, 2014 via a notification dated 30th May 2025 to strengthen gender sensitivity, corporate accountability, and transparency in workplaces.
These amendments now mandate the inclusion of disclosures related to the implementation of the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 (POSH Act) in the Board’s Report of listed companies and certain other prescribed classes of companies.
Revised Rule 8(5)(x) – Extract of the Amendment
- A statement that the company has complied with provisions relating to the constitution of the Internal Complaints Committee (ICC) under the POSH Act, 2013, along with the following details:
- Number of complaints of sexual harassment received during the financial year;
- Number of complaints disposed of during the year; and
- Number of cases pending for more than ninety days.
The amendment aims to:
- Promote safe, inclusive, and responsive workplaces.
- Ensure corporate oversight on critical issues like harassment and maternity benefits.
- Encourage companies to adopt and implement strong Internal Complaints Committees (ICCs) and effective grievance redressal systems.
These changes come into force on 14th July 2025. Companies finalizing their FY 2024–25 financials after this date must ensure compliance.