a company to pay compensation of Rs. 1.68 crores for not constituting the Committee to deal with sexual harassment issue
One of the interesting judgment of Madras High Court wherein the company paid nearly Rs. 1.68 crores for non-constitution of the sexual harassment committee. In this case, the HC held that it is the duty of the employer to provide safe environment and the court rejected the argument that the vicarious liability of the employer is not applicable as the grievance is between co-worker and worker. This case law reminds that even a company could be liable for huge damages if it fails to takes appropriate action. I am sure this is just a beginning and will open doors for aggrieved person to seek damages from the company apart from the perpetrator for any wrong doing. In the recent case of ISG Novasoft Technologies Ltd. Vs. Mr. Justice T.N.C. Rangarajan, the High Court of Madras (“HC”) has directed a company to pay compensation of Rs. 1.68 crores for not constituting the Committee to deal with sexual harassment issues (“Vishakha Committee”) as mandated by...