Module 6 of 7 — Indian Employment Law (Non-Lawyer)

Women in the Workplace: POSH, Maternity, Equal Remuneration

Reading module · approx 13 min

Indian employment law imposes specific obligations on employers concerning female employees. Three statutory frameworks are central: the POSH Act on sexual harassment, the Maternity Benefit Act, and the Equal Remuneration Act.

POSH Act: Sexual Harassment at the Workplace

The POSH Act, 2013 applies to all workplaces with 10 or more employees. It requires:

Constitution of an Internal Committee (IC) at each office, with a female Presiding Officer, at least half female members, and an external member from an NGO
Written POSH policy circulated to all employees
Complaint mechanism with defined timelines (90 days for inquiry; 10 days for reporting recommendations)
POSH awareness training for all employees
Annual report to the district officer

Non-compliance attracts penalty up to Rs. 50,000 for first offence, doubling for subsequent offences, and cancellation of business license for repeat offenders. POSH non-compliance is one of the most reputationally damaging compliance failures for an Indian employer.

Maternity Benefit Act

Applies to establishments with 10 or more employees. Key entitlements:

26 weeks paid maternity leave for the first two children
12 weeks paid maternity leave for third and subsequent children
12 weeks paid maternity leave for adoptive mothers (children below 3 months) and commissioning mothers (surrogacy)
Nursing breaks after return from maternity leave
Creche facility mandatory in establishments with 50+ employees, with visitation rights
Work-from-home option post-maternity leave where the nature of work permits

Dismissal or discharge during maternity leave, or on pregnancy-related grounds, is unlawful and attracts penalty. The employer must protect the woman's employment during her leave and reinstate her in the same or equivalent position on return.

Practical implementation Small employers frequently underestimate maternity leave costs and structural implications. A 26-week leave for a key employee is a substantial operational commitment. Employers should build maternity leave contingency planning into hiring and workforce planning, not treat each pregnancy as an ad hoc crisis. The cost is paid by the employer (not the state) for most private sector employees and is a legitimate business cost.

Equal Remuneration Act

The Equal Remuneration Act, 1976 prohibits discrimination in remuneration on the basis of sex for the same work or work of a similar nature. Also prohibits discrimination in recruitment, promotion, and training on the basis of sex, except where employment of women is prohibited or restricted by law. Employers must maintain wage records and are subject to inspection by state labour authorities.

Additional protections

Female employees also benefit from restrictions on night work in factories (with limited exceptions), specific safety and welfare provisions under sector-specific statutes, and reservation policies in government employment. Private sector employers are not generally subject to gender reservation but are increasingly voluntarily adopting diversity commitments.

Module 7 covers the operational compliance and record-keeping requirements that all Indian employers must maintain.