1. What is the legal time frame in which the ICC has to be formed by the Company?

Answer: The Rules under the Act were notified on 9th December 2013. This means that the Act has been in effective force since this date. It is usual for compliance to a new legislation being required within three months of the Act coming into force. Often, 3 months relaxation is allowed.

2. What are the repercussions if the ICCs are not constituted / delays occur?

Answer: The repercussions of an ICC not being formed at any time since the Act has come into force would be the following: 1. Any woman employee complaining of sexual harassment will, in the absence of the ICC, take her matter to the Local Complaints Committee that is being set up at the District level. This would cause adverse publicity for the company. 2. If the LCC finds or any court finds that ICC has not been formed by the Company it could impose a fine of Rs. 50000 against the company. In case of a continued default the registration of the company or any other licenses to do business could also be revoked. 3. All such actions would be require the presence of the employer who is usually identified as the managing director leading to great discomfort and adverse publicity that could be inimical to business.

3. We have a HO in Delhi, a factory in Amritsar and another in Pune where we have women employees. Can we have a single ICC in India located in HO which will address issues in the peripheral factories within India.

Answer: No. The law mandates that an ICC be constituted at every unit of the company when it has multiple offices/establishments. You would require an ICC in Delhi, Amritsar and Pune. However, through certain processes you can streamline matters in such a way that disciplinary decisions can be taken centrally by HO and that the core members of all ICCs are common. COHERE can advise you on such structures keeping in mind your operations and needs

4. We have a factory in Phagwara which has no women employees. Do we need an ICC?

Answer: The law requires that an ICC be constituted all units regardless of number of women employed.

5. We have one office herewith only 3 employees and internationally we have a factory in Spain. Will the law apply to us?

For your factory in Spain, laws local to Spain will apply. However, if any complaints are made to an ICC in India (even if for incidents in Spain) for e.g.. where an Indian employee has traveled to Spain for work etc., Indian law would apply.