Government finds it difficult to appoint women directors: Nirmala Sitharaman

All the listed companies had to appoint one within a year, and others reporting minimum revenue of Rs 300 crore had three years to comply

jasleen

Jasleen Kaur | October 6, 2016 | New Delhi


#women directors   #SEBI   #FICCI   #Nirmala Sitharaman   #Companies Act  
Government finds it difficult to appoint women directors: Nirmala Sitharaman
Government finds it difficult to appoint women directors: Nirmala Sitharaman

 The government is finding it extremely difficult to appoint women on boards of companies, said minister of state for commerce and industry Nirmala Sitharaman.

Addressing a gathering of women entrepreneurs at Federation of Indian Chambers of Commerce and Industry (FICCI) on Thursday, the minister said the court might pull up the centre for not fulfilling the commitment.
 
 
 
The Securities and Exchange Board of India (SEBI) had asked companies to appoint at least one woman director before April 1, 2015, adhering to rules set by the Companies Act 2013.
 
According to the Act, all listed companies and public firms having paid-up share capital of Rs 100 crore or more had to have at least one woman director each on their boards. SEBI, the stock market regulator, incorporated this law into its norms in February 2014 and had set October 1, 2014 as the deadline. All the listed companies had to appoint one within a year, and others reporting minimum revenue of Rs 300 crore had three years to comply. It was aimed to improve gender diversity in boardrooms of public and private companies. While the move was welcomed by CPSEs as a measure to bridge the gender gap, CPSEs were not in a hurry to meet the deadline. 
 
Though the Act did not clarify whether the women directors on the board have to be ‘functional directors’ – implying they are hands-on officers and part of the company – or can be ‘independent’ ones as well. Experts had apprehensions as they believed most organisations would try and take the easier way out by appointing ‘independent’ directors on their board. 
 
In May 2016, 22 PSUs were fined for not appointing women directors. A total of 1,375 BSE-listed companies and 191 NSE-listed companies were fined for failing to appoint women directors on their respective boards. Out of these, two were public sector banks and 22 were central public sector undertakings.
 
 
According to the data from Prime Database, which lists information on capital market offerings, there are 1,418 women directors holding 1,755 board positions in companies listed on the National Stock Exchange (NSE).
 

Comments

 

Other News

US action on Hizb chief dampens Kashmiri separatists’ spirits

The USA declaring Hizbul Mujahideen chief Syed Salahuddin as a specially designated global terrorist may not take the sting out of terrorists’ plans in Kashmir immediately but it has given a huge setback to Kashmiri separatists who had always hoped for American intervention in the Indo-Pak standoff o

Music is universal. It has no language: Vani Jairam

Vani Jairam’s childhood dream of becoming a playback singer was realised when veteran film music composer Vasant Desai gave her the opportunity to sing Bole Re Papi Hara and two other songs in the movie Guddi. After that, the multilingual singer went on to sing for eminent music per

Should there be death penalty for those involved in lynching?

Should there be death penalty for those involved in lynching?

Battle over cattle, Delhi govt schools lead the way and, why we must return to Gandhi & Tagore

On May 23 this year, the ministry of environment issued ‘Rules on prevention of cruelty to animals (regulation of livestock market)’ with the purported aim of regulating animal markets. When one reads the rules – notwithstanding the lame efforts from union ministers to issue clarificati

BEML unveils 9 MW capacity windmill park

  BEML, a mini ratna category-1 enterprise of the defence ministry, has set a target of using 100 percent renewable energy for its own consumption.   In this connection, BEML’s 9 MW Windmill Park installed at Bagalkot District in Karnataka was recently

BHEL registers increase in intellectual capital

  Bharat Heavy Electricals Limited (BHEL), a Maharatna enterprise, has recorded nearly 14 percent growth in its intellectual capital in 2016-17 fiscal. During the year, a record 508 patents and copyrights were filed by the company, translating into filing of nearly two patents/copyrights



Video

पाकिस्तानी सेना कैमरे में कैद करना चाहती थी ये हमला

Current Issue

Opinion

Facebook    Twitter    Google Plus    Linkedin    Subscribe Newsletter

Twitter