Laws regarding Sexual Harassment at Workplace
Under section 354 of the Indian Penal Code (I.P.C.), “ whoever assaults or uses criminal force to any woman intending to outrage her modesty shall be punished with imprisonment of either description for a term which may extend to two years or with fine or with both.”
And, under Section 507 of the I.P.C., “whoever intending to assault the modesty of any woman utters any word, makes any sound or gesture or exhibits any object intending that such word or sound shall be heard or that such gesture or object shall be seen by such woman or intrudes upon the privacy of such woman shall be punished with simple imprisonment for a term which may extend to one year or with fine or with both.”
In the case of Vishaka and others v. The State of Rajasthan and others, reported in 1997 LIC 2890 the Supreme Court has observed that each such incidents of sexual harassment results in violation of the fundamental rights of ‘Gender Equality’ and the ‘Right to Life and Liberty’, of the working women under Articles 14, 15 and 21 of the Constitution of India. The Supreme Court has observed that, “the logical consequences of such an incident is also the violation of the victim’s fundamental rights under Act. 19(1)(g) “ to practice any profession or to carry out any occupation, trade or business”. The Supreme Court has proceeded to observe, “Equality in employment can be seriously impaired when women are subjected to gender specified violence, such as sexual harassment in the work place.”
The Supreme Court referred to the other Articles of the Constitution and also to the International Convention and Agreements and Their Lordships observed “Gender equality includes protection from sexual harassment and right to work with dignity which is a universally recognized basic human right. The common minimum requirement of this right has received global acceptance. The International Convention and norms are, therefore, of great significance in the formulation of the guide-lines to achieve this purpose.”
The Supreme Court cast a duty on the employer to interalia, “prevent or deter the commission of act of sexual harassment and to provide the procedures for the resolution, settlement or prosecution of acts of sexual harassment by taking all steps required.”
Legal Notes_4
Where the Indian manufacturers/entrepreneurs will go So many Indian personnel those who are very eager to start industry or enter into a profession of manufacturing as entrepreneurs, possess a vast knowledge of technical aspect. But it seems that all these entrepreneurs overlooked to give attention to a legal aspect, which plays a key role in industry.
To achieve a great success in an industry all these manufacturers or entrepreneurs are very anxious generally to enter into collaboration with or very anxious to get some foreign orders for their products and the problem starts at this juncture.
The multinational companies those who want to expand their business in India or in Asia requires certain material for their finished goods and they start hunting these manufacturers/entrepreneurs, basically the Indian manufacturers/entrepreneurs to prove their marketability for their product enter into an agreement with this foreign companies. It is an attitude of Indian manufacturers/entrepreneurs that they usually don’t lose this opportunity to prove themselves eligible for international market; basically this is not a wrong thinking. The manufacturers/entrepreneurs must be ambitious while expanding his business but he should not overlook the hidden dragons of danger while entering into an agreement
As soon as the Indian manufacturers/entrepreneurs gets opportunity to enter into an international business arena, without thinking he usually accepts all the terms of a foreign company.
In this eventuality the foreign companies may impose certain international standard of qualities on the products and to fulfill that and not to lose the opportunity of getting business the Indian manufacturers/entrepreneurs hurriedly purchases new machinery from India or abroad by arranging a financial help from Indian banks or from multi national leasing companies.
Basically it seems that the foreign companies while grabbing the market in India or in Asia gives importance to their name, their product, and their advertisement, to their packaging. To achieve this they impose certain quality control norms on Indian manufacturers, and the Indian manufacturers targeting the achievement of a
great success overlook the hidden threats in financial aspect and other aspects also. To avoid this the Indian manufacturers/entrepreneurs must keep in mind the following points
a) Agreement
I) While entering into an agreement with foreign companies the assurance of fixed period for orders must be obtained.
II) For obtaining all necessary governmental, semi-governmental permissions for importing foreign machinery or for obtaining permission from RBI, the interaction or a declaration for a fixed period or a fixed quantum of order from a foreign company must be obtained so that the Indian manufacturers can give assurance to the financial institutions for a repayment of such type of huge loans they obtain.
III) There must be a control of governmental body or an institution or RBI on such type of agreements whereby the foreign companies will be held responsible if they backed out from their promises.
IV) In case if any dispute arose in between these foreign companies and Indian companies regarding the product manufactured or regarding backing out of foreign companies if their product is not marketed in India or Asia. In that eventuality though the Indian government has formed International center for alternative dispute resolution at New Delhi wherein the arbitration cases has been conducted. Despite of that Indian companies must insist for a local jurisdiction where they are situated.
Vijay M. Jadhav
Advocate
Mumbai high court
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Legal Notes_5
RBI permits foreign companies to set up branch offices in SEZsForeign companies have been permitted by the Reserve Bank of India to establish branch offices or units in Special economics Zones (SEZs) to undertake manufacturing and service activities subject to fulfilling certain conditions.
RBI has decided to grant a general permission of such units function in those sectors where 100 percent FDI is permitted, provided they comply with part XI of the Companies Act and function on a ‘stand-alone’ basis. the central bank said in a notification.
In the event of winding-up of business and for remittance of such proceeds, the branch or unit should approach an authorised dealer with documents prescribed under the FEMA Act, it said. [ Source: Press Trust of India 19th Jan, 2004.]







