The Indian Constitution has granted equal rights to men and women, we still find the society is always male dominated and the employment of women is not preferred in various fields like in Army or Air force, combat field, flying zones etc. Women are employed in many companies engaged in manufacturing sector, banking or financial sector etc. but to a limited position.
The government has promoted many laws to empower the women rights. One of the revolutionary decisions by the government was mandating to include at least one women director in the Board of Directors of the listed companies and certain specified class of Companies.
Every listed company shall appoint at least one woman director within one year from the commencement of the second proviso to Section 149(1) of the Companies Act 2013.
The certain specified class of companies includes the following:
- Every other public company having paid up share capital of Rs. 100 crores or more or
- Every other public company having turnover of Rs. 300 crore or more
as on the last date of latest audited financial statements, shall also appoint at least one woman director within 1 year from the commencement of second proviso to Section 149(1) of the Act.
Provided that a company incorporated under the Companies Act 2013 and is covered by the provisions of Section 149(1) of the act, shall comply with such provisions within six months from the date of its incorporation.
Further if there is any intermittent vacancy of a woman director then it shall be filled up by the board of directors within 3 months from the date of such vacancy or not later than immediate next board meeting, whichever is later.
The other countries like Spain, Norway, Italy, Belgium etc have already implemented such provision of appointment of women director in the Board of Company.
This has been a welcome move for women in India because now women’s corporate skills and talent will not be wasted on the ground of being woman only.