Does a 10-person startup need a POSH policy?
Yes. Under the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013, every workplace with 10 or more employees, including interns, trainees and contract staff, must set up an Internal Committee and have a written policy. Not complying can lead to a fine of up to ₹50,000. Workplaces with fewer than 10 employees are covered by the district’s Local Committee.
Who counts as an employee?
Everyone who works for you, whether permanent, temporary, contract, intern or trainee, counts towards the 10.
Do remote teams need it?
Yes. The law covers any place visited during work, and companies apply the policy to remote work too.
Key facts
| Law | POSH Act, 2013 |
|---|---|
| Applies to | Workplaces with 10 or more employees |
| Must have | Internal Committee, written policy, awareness sessions |
| Committee | Presiding officer (a senior woman), 2+ employees, 1 external member |
| Penalty | Up to ₹50,000 for a first contravention |
| Annual duty | File the annual report with the District Officer |
Steps
- Adopt a written POSH policy
- Constitute the Internal Committee with an external member
- Display the committee details and train your team
- File the annual report every year
Questions
Can the founder be the presiding officer?
The presiding officer must be a woman employed at a senior level. Many small startups appoint a senior woman employee and an external member.
How much does it cost?
A POSH policy with the committee order starts at ₹399, drafted & signed by an advocate.
This guide is general information, not legal advice for your situation. Talk to an advocate before acting.