May 22, 2024 07:24 (IST)
NSE issues notices to 115 active listed companies to include women directors on board
New Delhi, July 22 (IBNS): India's leading bourse National Stock Exchange of India (NSE) has taken up the issue of gender diversity in boards with listed companies.
The exchange has conducted a study of listed companies recently. About 88% of the companies seem to have complied with the SEBI directive among the NSE listed companies. Very interestingly studies have shown that companies with multiple woman directors have performed better.
In compliance with the SEBI directive NSE has issued notices to 260 companies (this includes suspended companies) who have not complied so far. With some companies replying, rest are at various stages of evaluation.
Out of these companies 145 are in the suspended companies while rest are active. After serving these notices recently, one has already complied while many are expected to follow. The total listed companies (including Debt and MF) are 1750 & out of these companies 189 were suspended due to non compliance of various nature.
The study was undertaken in association with N Balasubramanian, Adjunct Professor, IIM – Ahmedabad. The study has revealed that 1186 companies have women directors on board out of 1451 as on 1 April 2015. Covered companies are those which were mandated to have women directors and for which women directors’ data is available.
In case the companies remain non compliant, as per SEBI circular dated April 08, 2015, the exchanges are advised to levy fines on listed companies for non-compliance with the requirement of Clause 49 II (A) (1) i.e. non appointment of woman director on quarterly basis . As mentioned, NSE has already issued notices to non-compliant companies.
Generally, there is a business case for gender diversity in the boards. It can have few key dimensions, like, increasing board effectiveness, augmenting company performances etc among others. It is revealed that regulatory mandates accompanied by awareness programs help achieving a better ratio. The study has also revealed that Norway has made the best progress. Among the BRICS nations, South Africa leads the group with 17.6%, while Brazil is lagging at 5.3% and India is placed with 9.5% women director.
Support Our Journalism
We cannot do without you.. your contribution supports unbiased journalism
IBNS is not driven by any ism- not wokeism, not racism, not skewed secularism, not hyper right-wing or left liberal ideals, nor by any hardline religious beliefs or hyper nationalism. We want to serve you good old objective news, as they are. We do not judge or preach. We let people decide for themselves. We only try to present factual and well-sourced news.
Support objective journalism for a small contribution.
Latest Headlines
Magadh Sugar & Energy Ltd Q4FY24 PAT grows to Rs 47 cr Wed, May 22 2024
Avadh Sugar & Energy Ltd Q4FY24 PAT drops to Rs 55 cr Wed, May 22 2024
Bitcoin soars to $71,000 today: what’s fuelling the rally? Tue, May 21 2024
Silver prices to maintain bullish trend despite pause on Tuesday Tue, May 21 2024
Alignment with 4% inflation target may occur in latter part of the year: RBI report Tue, May 21 2024
JSW Cement to invest Rs 3,000 cr to establish new integrated cement facility in Rajasthan Tue, May 21 2024
BHEL Q4FY24 net profit drops 26% to Rs 489.62 cr Tue, May 21 2024
5 Top Things to Know About Kotak811 Debit Cards Tue, May 21 2024