REPRESENTATION OF WOMEN ON THE BOARD OF DIRECTORS UNDER THE COMPANIES ACT, 2013
The conventional Indian society is a predominantly patriarchal structure that prevents women from being independent by working or completing their education as they are considered to be the weaker gender. The gender discrimination has resulted in an increase in illiteracy among women leading to the downfall of the society and resulting in an absolute pitiable condition of the women belonging to all societal strata because of the male dominance and supremacy.
The issue of gender bias has haunted women for a long enough in society and still continues to. But with the advancement in technology in this time and age, women are striving towards becoming independent and securing equal opportunities as men. The literacy rate among women has increased over the past few years but still lags behind the male literacy rate. At all India level, the male literacy rate is higher at 84.7% compared to 70.3% among women.[i] The corporate sector is still a very male-dominated sector where women do not usually reach to the heights of their potential because of gender discrimination. Even though the Indian Constitution guarantees equality and prohibits discrimination on grounds of religion, race, caste, sex or place of birth enshrined in Article 15, it is hardly of any consequence in the corporate sector. The power and gender dynamics that are in play in the corporate sector seldom let any women hold a position of authority over men and reach her highest potential by using the available resources. Women are more often than not handed over jobs or given positions that are considered uncomplicated or can be done without the use of any actual skills. This is because of the idea that the entire female race is inferior to the male race and does not have the same mental or physical capabilities to perform complicated tasks properly. This makes it more than difficult for women to climb up the corporate ladder to reach the leadership position that is the Board of directors.
The Uday Kotak committee consisting of 21 members set up by SEBI led to SEBI’s mandate to instate at least one-independent woman director on the Board of Top 500 Companies by Market Capitalization is a major step forward in terms of empowering women directors considering the present disproportionate participation of woman directors. Since any hasty order to immediately appoint an independent woman director would not have been practical, therefore, SEBI decided to make the same effective from 1st April, 2019.11 Regulation 17(1) was amended to insert the following provision on 9th May 2018, which provided almost 11 months for the concerned companies to comply.
The concern of gender diversification is one of impartiality and equity for women in the corporate sector. It is vital that the remnants of possibly unintentional and elusive yet structural discrimination be eradicated. Indian companies must comply with gender diversification provisions which were true intention or better the soul of the law. However, to make it effective by a real change in the corporate culture.
This Article Does Not Intend To Hurt The Sentiments Of Any Individual Community, Sect, Or Religion Etcetera. This Article Is Based Purely On The Authors Personal Views And Opinions In The Exercise Of The Fundamental Right Guaranteed Under Article 19(1)(A) And Other Related Laws Being Force In India, For The Time Being.
