corporate law
The recent ruling by the Madras High Court in HCL Technologies Ltd vs N Parsarathy , highlights an essential legal principle regarding sexual harassment. In a significant decision rendered on January 22, 2025, the court unequivocally stated, “Any act or words that make a woman feel uncomfortable at her workplace or are perceived by her as unwelcome constitute sexual harassment, as defined under the Prevention of Sexual Harassment (PoSH) Act, irrespective of the perpetrator’s intent behind such actions.”
In this verdict, the Single Judge Bench, led by Hon’ble Ms Justice RN Manjula, applied the ‘reasonable woman standard’ to emphasize that the PoSH Act focuses on the victim's perception rather than the harasser's intent. The court clearly articulated, “If something is not received well and is perceived as inappropriate and unwelcome behavior affecting women, it would indeed fall under the definition of ‘sexual harassment.’”
The Bench referenced the U.S. Supreme Court case Joseph Oncale vs. Sundowner Offshore Services, Inc. (523 U.S. 75, 1998), which established that the standard for evaluating sexual harassment complaints in workplaces should be considered through the perspective of a reasonable woman. Employees are urged to maintain decency in their interactions, assessing behavior based on how it affects others, particularly women.
The matter began when the respondent, who had been appointed as an Associate General Manager in the petitioner’s company on March 28, 2016, appealed to the Labour Court to set aside the Internal Complaints Committee (ICC) recommendations from August 30, 2018, which found him guilty of sexual harassment following multiple complaints.
The ICC had concluded that the respondent’s behavior—such as hovering close to female employees and making inappropriate remarks—constituted sexual harassment. Recommendations included:
The Labour Court overturned the ICC's findings, citing a lack of fair hearing for the respondent. The petitioner challenged this decision based on an inadequate evaluation of the evidence presented, leading to the High Court's consideration.
The High Court articulated that the Labour Court had failed to appreciate the nuances of the ICC’s findings, especially given the respondent’s supervisory role and the impact of his actions on the female employees. It emphasized that the intention behind the actions is less significant than the actual feelings of discomfort experienced by the complainants.
In summary, the Madras High Court underscored the importance of perceptions in cases of sexual harassment, firmly establishing that unwelcome behavior at the workplace can be classified as harassment regardless of the harasser's intent. The court's decision to quash the Principal Labour Court's order reinforces the need for organizations to uphold the principles of the PoSH Act and create a safe working environment for all employees.
In light of this ruling, organizations must evaluate their policies and training programs to ensure compliance with the PoSH Act, fostering a respectful and safe workplace for every employee.