Posted by & filed under POSH-ACT.

In a recent judgment, the Supreme Court of India has issued a comprehensive set of directions to both the Union government and all State/Union Territory governments to ensure the effective implementation of the Sexual Harassment at Workplace (Prevention, Prohibition, and Redressal) Act, 2013 (POSH Act) and its Rules.

Key highlights of the judgment include:

  1. Mandatory Appointment of District Officers: The Court has stressed the obligatory appointment of District Officers, emphasizing their pivotal role in overseeing the implementation of the POSH Act, appointing nodal officers, and forming Local Committees.
  2. Appointment of Nodal Officers and Local Committees: District Officers are directed to appoint nodal officers and constitute Local Committees in various geographical areas, as stipulated by the Act.
  3. Awareness and Sensitization:The judgment emphasizes training and sensitization of District Officers and Local Committee members regarding their responsibilities under the Act. Periodic training sessions are to be organized by the state governments.
  4. Awareness and Outreach:The Court has called for greater awareness efforts, especially in the unorganized sector, by involving non-governmental organizations (NGOs) and making Local Committees more accessible.
  5. Coordination: The Women and Child Development Ministry in each state/union territory is instructed to designate a ‘nodal person’ for better coordination, both within the state and with the Union Government.
  6. Amendments to Rules: The Union Government is urged to consider amending the Rules to address reporting and fine collection under Section 26 of the Act.
  7. Annual Compliance Reports: District Officers are tasked with ensuring compliance with various sections of the Act, including collecting reports and preparing brief reports to share with the state government.
  8. Monitoring of ICs and Employer Compliance: The judgment reiterates directions from a previous case, focusing on establishing Internal Complaints Committees and ensuring compliance, particularly in public and private establishments.
  9. Efforts towards Awareness: Both state and Union governments are instructed to allocate financial resources for educational materials, communication, training, and awareness programs about the POSH Act

In summary, this judgment is a significant step towards strengthening the implementation of the POSH Act, with a primary focus on preventing and addressing workplace sexual harassment. It underscores the need for a robust framework to ensure accountability and support for victims, emphasizing the role of District Officers, sensitization, and outreach efforts.

Supreme court Judgement:-

Posted by & filed under High Court Judgements.

Government of Tamil Nadu - Wikipedia

In the judgment of C.M.A(MD)No.861 of 2022 by the Madurai Bench of the Madras High Court, dated 23rd March 2023, the following key points were addressed:

Background: The case involved an appeal filed by the Employees State Insurance Corporation (ESIC) against a decision by the Labour Court. The ESIC contested the liability of Sundaram Textiles Limited to pay contributions for stipends paid to their apprentice employees.

Legal Definitions: The case centered around the interpretation of the Employees State Insurance Act (ESI Act). The ESIC argued that the stipends paid to apprentices qualified as “wages” under Section 2(22) of the ESI Act, making the company responsible for contributions. The respondent, Sundaram Textiles Limited, claimed that their apprentice employees were not covered by the ESI Act as they were engaged under certified standing orders, and, therefore, were not liable for contributions.

Pre-Amendment Status: The judgment noted that before an amendment to the ESI Act on 1st June 2010, apprentice employees engaged under certified standing orders were not considered employees for the purpose of contributions under the ESI Act.

Ruling: The court examined legal precedents and determined that the respondent’s apprentices were not employees under the ESI Act. They were engaged for the purpose of learning skilled work and were not entitled to claim regular employment. This meant that the stipends paid to them did not qualify as “wages,” and therefore, the respondent was not liable for contributions under the ESI Act.

Amendment Date: The judgment emphasized that the period for which contributions were claimed (from 4/2002 to 3/2007) fell before the 2010 amendment to the ESI Act. Therefore, the respondent was not liable for contributions for that period.

Outcome: The Madras High Court upheld the decision of the Labour Court. This meant that Sundaram Textiles Limited was not required to pay contributions for the stipends paid to their apprentice employees, and the appeal by the Employees State Insurance Corporation was dismissed.In summary, the judgment clarified the legal status of apprentice employees under the ESI Act and determined that contributions were not applicable for the stipends paid to apprentices engaged under certified standing orders before the 2010 amendmet

Posted by & filed under Telengana Election.

Telangana Assembly Elections Scheduled for November 30

The 119 members of the Telangana Assembly will be chosen in the 2023 election, which is expected to take place in December or earlier. The Election Commission of India (ECI) has announced the date for the upcoming Telangana Assembly Elections 2023. The elections will take place on 30 November 2023.

In this context, it is hereby authorized to declare a paid holiday, on the day of poll i.e., 30.11.2023 (Thursday) and also authorized to declare paid holiday for the Offices /Institutions where polling stations and counting centers are established, on the day before the day of Poll i.e., 29.11.2023 (Wednesday) and the day fixed for Counting i.e., on
03.12.2023 (Sunday) for the ongoing General Elections to Telangana State Legislative Assembly, 2023.

Posted by & filed under POSH-ACT.

Sexual Harassment of Women at Workplace Act 2013

Ceeta Industries Limited, a company headquartered in Tumkur, Karnataka, has been penalized by the Ministry of Corporate Affairs (MCA) for violating Section 134(3)(q) of the Companies Act, 2013. The violation stems from the company’s failure to include a required statement regarding the constitution of the Internal Complaints Committee (ICC) under the Sexual Harassment of Women at Workplace Act, 2013, in their Board reports for the financial years ending on March 31, 2019, and March 31, 2020.

Key point:-

  • Violation Details: The company did not disclose its compliance with ICC provisions in their Board reports, which was a violation of Section 134(3) of the Companies Act.
  • Penalties Imposed: The penalties for this violation include a fine of three lakh rupees for the company and fifty thousand rupees each for its Managing Director, CFO (Key Managerial Personnel), and Company Secretary.
  • Adjudication Process: The violation was identified in July 2021, and the company underwent an adjudication process, including a physical hearing where they argued that the omission was unintentional.
  • Small Company Argument: The company claimed that, as it had fewer than ten employees in each establishment, it was not obligated to establish an ICC. However, this argument did not exempt them from the penalty.
  • Importance of Compliance: The article underscores the necessity of adhering to all statutory requirements, no matter how seemingly procedural they appear, to avoid financial penalties and legal actions.
  • Consequences of Non-Compliance: Failure to comply with the MCA’s order could result in further legal actions under Section 454(8) of the Companies Act, 2013.

This case serves as a reminder of the importance of adhering to legal requirements and maintaining regulatory compliance to avoid financial penalties and potential legal consequences.

Posted by & filed under High Court Judgements-PF.

Supreme Court | Section 2(b) of EPF Act

A Division Bench of the Supreme Court recently determined the legal position pertaining to the clubbing of different institutes for the purpose of coverage under the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952 (EPF Act).

After referring to several decisions with respect to the subject matter, the Court concluded that there is a financial integrity between the two institutes and thus, they can be interconnected and can be clubbed for the purpose of coverage.

Important Judgement from Supreme court :-

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Synopsis of the Judgment in Civil Appeal No. 4188 of 2013:

•The case involves an appeal challenging the applicability of the Employees’ Provident Funds and Miscellaneous Provisions Act (EPF Act) to the appellant’s educational institutions.
•The appellant runs two institutions: the ‘Ideal Institute of Fine Arts’ and the ‘Mathosri Manikbai Kothari College of Visual Arts,’ both on the same campus.
•The issue is whether the EPF Act applies when both institutions share the same management and premises.
•The Enforcement Officer’s report determined that both institutions should be covered under the EPF Act due to their common management and having a total of 26 employees.
•The Commissioner issued an order for EPF contributions, which the appellant appealed. The Tribunal and the High Court upheld the order.
•The appellant argued that the institutions were independent and not interconnected.
The court referred to legal precedents and noted that common management, functional integrity, and financial integration were essential factors for determining EPF Act coverage.
•Documents provided by the appellant, such as accreditation and financial records, supported the argument of interconnectedness.
•The court found that the appellant failed to provide enough evidence to disprove the common management and interconnection between the institutions.
•The appeal was dismissed, and the court upheld the previous orders for EPF Act coverage. No costs were awarded.
•In summary, the judgment confirms that both appellant’s educational institutions are subject to the EPF Act due to their shared management and interdependence, as established by the evidence and legal principles.

Posted by & filed under Compliance -Calendar.

Appended below is the Pan India Compliance calendar for October 2023, the employer is under obligation to contribute towards some of the above-mentioned compliances for the welfare of the employees. Each of these compliances is again governed by a set of rules and formulas. It is proven to be a deliberate attempt to violate the provisions of the law, there could be imprisonment of the employer. Please, comply with the same in time to avoid any future non-compliance so that hefty penalties and fines are not charged by the respective dept.