The Concept of Principles of Natural Justice

Principles of Natural Justice refer to fundamental legal principles that ensure fairness in legal proceedings and decision-making processes. These principles are rooted in ensuring that decisions are made in a just and unbiased manner.

Following are the Key Principals:

1. Audi Alteram Partem (Right to Be Heard) Explanation: This principle ensures that both parties involved in a case have the opportunity to present their side before any decision is made. Affected persons must be informed of the allegations against them and given a chance to defend themselves.

2. Nemo Judex in Causa Sua (Rule Against Bias) Explanation: This principle requires the decision- maker to be impartial and free from any personal interest in the outcome of the case.

3. Notice Explanation: Adequate notice of the charges, hearing dates, and the consequences must be given to the person concerned. It allows them to prepare for the hearing.

4. Reasoned Decision Explanation: The authority must provide a clear, reasoned decision. A mere pronouncement without explaining the rationale is insufficient. The decision must mention the key issues, findings, and reasoning.

5. Right to Present Evidence Explanation: The person affected should be allowed to present evidence in their defense. This includes both documentary and oral evidence.

6. Cross-Examination Explanation: The affected party must have the opportunity to cross-examine witnesses or challenge the evidence presented against them.

7. Decision Based on Evidence Explanation: Decisions must be based on relevant evidence presented during the hearing. Authorities cannot rely on assumptions, extraneous materials, or personal knowledge to make their decision.

8. Rule of Fairness Explanation: Fairness is the overarching principle governing natural justice. Even if all procedural aspects are followed, if the overall process is not fair, the decision can be challenged.

9. Right to Appeal Explanation: A person affected by a decision should have the right to challenge it before a higher or appellate authority. This right ensures that any errors or biases in the initial decision can be rectified.

10. Institutional Bias Explanation: The decision-making body must not have any institutional interest in the outcome of the proceedings. If the institution itself stands to gain from the outcome, it cannot be an impartial decision-maker.

Union of India Citation v Banani Chattopadhyay

Union of India Citation v Banani Chattopadhyay - (2022) 1 HCC (Cal) 351 Court – High Court of Calcutta.

Facts of the Case –

The petitioner, Banani Chattopadhyay, was a Deputy Manager at Hindustan Cables Ltd. (HCL). She opted for voluntary retirement on 31.01.2017 following a decision to close down the company. After retirement, she was engaged on a temporary basis as a consultant and later as an advisor. She was released from her temporary engagement on 30.04.2018. on 09.05.2018, she lodged a complaint of sexual harassment against Respondent 9 (allegedly the head of HCL), claiming the incidents began in the last quarter of 2016. An Internal Complaints Committee was constituted to investigate her complaint. The ICC submitted its report on 19.06.2018, concluding that the allegations were not proved. The petitioner filed a write petition challenging the ICC’s report and constitution.

Legal Issues:-

1. Whether the Internal Complaints Committee had jurisdiction to inquire into the complaint, or if it should have been referred to the Local Committee.

2. Whether the Internal Complaints Committee was properly constituted as per the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act of 2013 .

Caselaw in focus

3. Whether the principles of natural justice were followed in the inquiry process. 

4. Whether the court can issue a writ of mandamus to reinstate the petitioner to her temporary advisory position.

Plaintiff’s Arguments:-

1. The petitioner argued that Respondent 9, being the head of HCL, was the “employer” according to the Act and therefore only the Local Committee had jurisdiction to inquire into the complaint.

2. The petitioner claimed that the Internal Complaints Committee was not constituted in accordance with Section 4(2) of the Act.

3. The petitioner alleged that the IC members were biased and not impartial due to Respondent 9’s high position in the company.

4. The petitioner argued that the principles of natural justice were violated as the petitioner did not get sufficient opportunity to prove her allegations.

Defendant’s Arguments:-

1. The respondent claimed that the writ petition had become infructuous as Respondent 9 had since retired.

2. The respondent argued that the writ petition in not maintainable, as an appeal under Section 18 of the Act lies against the recommendations of the IC.

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3. The respondent argued that HCL is a public sector enterprise managed by the Board of Directors so Respondent 9 cannot be considered the “employer” under the Act.

4. The respondent claimed that the IC was properly constituted and conducted the inquiry fairly.

Judgement Held –

The court dismissed the writ petition and held that the Board of Directors, not Respondent 9, was the “employer” under the Act. The court had held that the ICC was properly constituted and had the jurisdiction to inquire into the complaint. Further the court held that there was no violation of principles of natural justice as the petitioner was given sufficient opportunities to present her case. Lastly, the court held that it cannot issue a writ of mandamus to reinstate the petitioner to her temporary advisory position. 

Legal Principles Established:-

1. In a public sector enterprise managed by a Board of Directors, the Board is considered the “employer” under the SHWW Act, 2013.

2. The ICC has jurisdiction to inquire into sexual harassment complaints against high ranking officials who were not considered the “employer” under the Act.

3. Section 4(2) of the Act, which provides the composition of the ICC, does not required the members to be of a rank higher than the respondent in the complaint.

4. A writ of mandamus cannot be issued to reinstate an employee to a temporary position that was contractual in nature.

Constitution of the Internal Complaints Committee (ICC) under the POSH Act: Roles, Structure, and Responsibilities

The Prevention of Sexual Harassment (POSH) Act, 2013, was enacted to address workplace sexual harassment in India and mandates every organization to establish an Internal Complaints Committee (ICC). The ICC plays a pivotal role in ensuring a safe and harassment-free work environment. Its primary responsibility is to investigate complaints of sexual harassment, ensure a fair inquiry, and recommend appropriate action. In this article, we will explore the structure, composition, and responsibilities of the ICC, along with the legal requirements governing its formation and operation.

1. Legal Mandate for the ICC under the POSH Act

Under the POSH Act, every employer is legally required to establish an Internal Complaints Committee (ICC) in the workplace to handle complaints of sexual harassment. This obligation applies to any organization with 10 or more employees. The ICC must be constituted at every branch or office location where the employee headcount meets this threshold. Failure to constitute an ICC can lead to penalties under the law.

2. Composition of the Internal Complaints Committee

The composition of the ICC is critical to ensuring a fair and unbiased inquiry. The POSH Act provides specific guidelines regarding the appointment of members, ensuring that the committee is diverse, impartial, and capable of handling sensitive issues related to sexual harassment. The ICC should have the following members:

a) Presiding Officer (Chairperson)

• The Presiding Officer must be a woman employed at a senior level in the organization.

• If no senior woman employee is available at a particular office or branch, the employer may nominate a woman from another office or branch of the same organization

• The selection of a woman as Chairperson ensures that female employees feel more comfortable approaching the committee with complaints of sexual harassment, considering the gendered nature of most harassment cases.

b) Internal Members

• The ICC must include at least two employees from within the organization who are committed to the cause of women or have experience in social work or legal knowledge related to women's rights.

• These members play a critical role in maintaining the committee’s sensitivity and awareness of issues surrounding gender equity, and they contribute to the decision-making process by providing their insights.

c) External Member (Third Party Representation)

• One external member, who is not employed by the organization, must be appointed to the ICC. This individual should be committed to the cause of women or possess expertise in dealing with issues of sexual harassment and knowledge of quasi judicial civil court procedure.

• The external member ensures impartiality and brings an objective, independent perspective to the inquiry process, minimizing the risk of internal bias within the organization.

d) Gender and Representation Requirements

• The law requires that at least half of the members of the ICC must be women. This requirement promotes a more gender-sensitive approach to handling complaints, making it easier for female employees to engage with the committee without hesitation.

3. Appointment Criteria and Tenure of ICC Members

a) Appointment Process

• The employer is responsible for appointing ICC members, ensuring that they meet the qualifications outlined in the POSH Act.

• The selection of members should be made with care to ensure that the committee remains neutral and credible, with a mix of seniority, expertise, and gender balance.

b) Tenure

• Members of the ICC, including the Chairperson, are appointed for a term of three years.

• At the end of their tenure, they can be reappointed or replaced by new members. The tenure ensures that the ICC operates efficiently and that there is no unnecessary turnover, which could affect the continuity of cases being handled by the committee.

c) Disqualification of Members

• The ICC must maintain objectivity and neutrality. Therefore, members with any conflict of interest in a particular case are required to recuse themselves from the inquiry.

• Members can also be disqualified if they disclose sensitive information about complaints or fail to uphold the confidentiality required during the inquiry process.

4. Roles and Responsibilities of the ICC Members

The ICC’s effectiveness depends on its ability to conduct fair, unbiased, and confidential inquiries into complaints of sexual harassment. Each member has specific roles and responsibilities that contribute to the inquiry process.

a) Presiding Officer (Chairperson)

• The Chairperson leads the inquiry process, ensuring that the complaint is handled with diligence, confidentiality, and sensitivity.

• They are responsible for scheduling meetings, overseeing investigations, and ensuring that the inquiry is conducted in compliance with the POSH Act’s procedural guidelines.

b) Internal Members

• Internal members assist in the collection of evidence, examination of witnesses, and interviews with the complainant and respondent.

• They also provide insight on the organization's culture and operational processes, helping ensure that the inquiry is relevant and fair in the organizational context.

c) External Member

• The external member's primary responsibility is to maintain objectivity and independence throughout the inquiry.

• They ensure that the internal members and the Chairperson are unbiased and that the committee follows the law and principles of natural justice.

d) Responsibilities During the Inquiry

• The ICC must begin an inquiry within 7 days of receiving the complaint and complete the inquiry within 90 days.

• Both parties must be given the opportunity to present their cases, submit evidence, and respond to the evidence submitted against them. The principles of natural justice, such as the right to a fair hearing, must be followed throughout the inquiry.

• After concluding the inquiry, the ICC is required to submit a report to the employer within 10 days. The report must include the committee's findings, conclusions, and recommended actions, including disciplinary action or compensation, if warranted.

e) Confidentiality

• The ICC is legally obligated to maintain strict confidentiality about the details of the complaint, the parties involved, and the proceedings. Breach of confidentiality by any member may lead to disqualification and legal consequences.

• Confidentiality ensures that the dignity and privacy of both the complainant and the respondent are protected, and the inquiry process is not influenced by external factors.

5. Functions of the ICC in Ensuring a Fair and Unbiased Inquiry

The ICC’s core function is to conduct a fair and unbiased inquiry into complaints of sexual harassment, adhering to the guidelines laid down by the POSH Act. To do so, the ICC must:

a) Provide Assistance to the Complainant

• Assist the complainant in filing the complaint and ensuring that their rights are protected during the inquiry process.

• Offer interim relief, such as changing work duties, granting leave, or ensuring that the complainant is not subjected to further harassment during the course of the inquiry

b) Conduct an Impartial Inquiry

• The ICC must act independently and without prejudice. Members must set aside personal biases and focus solely on the facts and evidence presented.

• The principles of natural justice, such as giving both parties an equal opportunity to present their case, are critical to maintaining the integrity of the inquiry.

c) Make Recommendations and Ensure Follow-Up

• After concluding the inquiry, the ICC must provide recommendations on appropriate actions, such as disciplinary measures, legal recourse, or compensation.

• The employer is obligated to implement these recommendations within 60 days. The ICC must ensure that the recommendations are acted upon and that justice is served in a timely manner.

Steps that HR Department Must take To Prevent Sexual Harassment At Work.

A large portion of the workplace in India is plagued by the problem of sexual harassment. In order to prevent it, businesses should take precautions, and they should also be prepared to address it if it does. The HR department is in charge of making sure compliance. To make the workplace safe for employees, they can implement Posh rules and take the ten steps listed below.

HR should make sure that the business has several reporting options, including anonymous reporting, for sexual harassment. They must also ensure that the staff is aware of these options, whatever they may be.

A human resources professional must understand that harassment can affect anyone, regardless of gender, sexual orientation, or other identifiers. Many LGBTQ employees are especially susceptible to harassment, whether it be sexual or otherwise. Sexual harassment can happen to anyone, even straight males in powerful positions inside the organisation. Every report should be taken seriously, and every investigation should start with the purpose of learning the truth rather than working backwards from a presumptive conclusion. If there is one thing that HR departments want, it is to be viewed as "the good policemen" rather than another barrier. 

The Posh policy must cover bystander training. This might be a good way to raise issues before they become outright harassment. It's a more recent idea, but college campuses have begun applying it to prevent sexual assault. Employees who have received bystander training are taught when and how to step in to stop harassment. It can counteract what is referred to as "the bystander effect," when individuals are less likely to intervene in a quarrel when others are present because they assume others will do so first. Now, it is up to HR to provide employees with the confidence and security they need to step in during a conflict.

Retaliation And Sexual Harassment at Workplace?

71% of women fail to report incidences of sexual harassment at work, according to a 2015 survey. Only 68.9% of Indian women who experience sexual harassment report their experiences to the Internal Committee (IC) or management, according to a 2017 survey by the Indian National Bar Association (INBA).

Retaliation is a tactic used to ridicule, humiliate, and spread rumours about the sexual harassment victim. When an employee reports sexual harassment in the workplace, the company may take action against them. Retaliation is any negative employment action that involves "exerting power." Demotion, wage reduction, job transfer, and termination are a few examples.

For fear of retaliation, many women choose not to report sexual harassment at work. The victim may be the target of reprisals from the accused or the organisation. In fact, studies has shown that businesses frequently devalue sexual harassment. As a result, the victim faces hostility and reprisals.

The organization's environment affects how it reacts to reporting. If the organisation backs the reporter, retaliation can be restrained. If a reporter receives more backing from the organisation, especially the management, they are less likely to face reprisals. An indication of this support is the work being done to substantiate the claims and address the complaint. The organization's intolerance of sexual harassment helps the support even more.

Status of Local Committee formation under POSH.

According to Section 6(1) of the Act, "Every District Officer shall constitute in the district concerned a committee to be known as the "Local Complaints Committee" to receive sexual harassment complaints from establishments where the Internal Committee has not been formed because it has fewer than ten employees or if the complaint is against the employer himself."

The Local Complaints Committee was changed to become the Local Committee in May 2016, broadening its mandate from merely handling complaints to one that requires it to act proactively to combat sexual harassment.

According to a report by the Martha Farrell Foundation, POSH policies are not generally being followed to its fullest extent (2018). In accordance with this research, 655 districts had 56 percent of requests for data sets from operating Local Committees ignored. Only 29% of districts claimed to have created LCs, and 15% of those districts still hadn't done so.

43% of respondents from the unorganized sector said they had at least once felt uneasy around a coworker. It is crucial to recognize the part stigma plays. The stigmatization of women increases with their level of marginalization, and many may not have the backing of their families to come forward and report workplace sexual harassment.

The Local Committee has the potential to sustain the spirit of the Vishakha principles through efficient execution. Since 95% of women in India's workforce are employed in the unorganized sector, strengthening the LC's operations would help the country's deeply ingrained patriarchal systems while ensuring institutional accountability.

Tips to create trans-inclusive workplace.

More than 27000 transgender people participated in a poll in 2015, and the results showed that at least 77% of them actively avoided workplace discrimination. This includes keeping their gender identities a secret, declining to request the use of their preferred pronouns by their employers and coworkers, and postponing gender transition.

Transgender individuals might not be fully present at work. Because they are more likely than cisgender employees to have an uneven working environment, they could feel uneasy or alienated.

Companies should begin implementing nondiscriminatory rules and procedures that are gender-specific. This entails regardless of their gender identities, defending and advancing the rights of every employee Increasing employee awareness of and acceptance of their transgender coworkers.

To some extent, everyone needs to feel like they belong. It's common for us to evaluate our relationships subconsciously. We experience poor levels of self-esteem and unfavorable sentiment when our social value declines. A social affirmation or appraisal, on the other hand, has the opposite effect. We feel included and valued when we receive praise, gratitude, and approval.

Likewise, transgender employees are accepted and valued in the workplace because to inclusive policies including using proper names and pronouns, having access to toilets that are gender-neutral, and having gender-neutral dress rules.

By creating advantages that are trans-specific and trans-friendly, businesses need to behave as supporters. For instance, helping with mental health services is a fantastic approach to support your transgender staff.

This may also apply to company regulations governing personnel who identify as gender non-conforming. Transgender workers will experience more inclusion at work by doing away with gender-specific jargon and upholding antibias standards.

It's also crucial to increase public awareness about gender identification. Many people lack the fortitude and expertise to question preconceptions and societal standards. Encourage your staff members to step outside their comfort zones and have unpleasant talks with management, especially the leaders. Cisgender employees who speak out against gender-based discrimination and ineffective rules at work provide a positive message of inclusiveness to their transgender coworkers.