The contract serves as the law of the contracting parties

Question

Assalamu Alaikum Wrb, I'm working in a company as Project Manager. Since it is manager category, there is no over time for me but the company is deducting my salary for my late coming (for me this is not a problem) but it is cutting the money double than the actual. (i.e., 4 hours for 1 day). What is the rule on Islamic Shariah for this issue?

Answer

All perfect praise be to Allah, The Lord of the Worlds. I testify that there is none worthy of worship except Allah, and that Muhammad  sallallaahu  `alayhi  wa  sallam ( may  Allah exalt his mention ) is His Slave and Messenger.

The matter depends upon the nature of the contract between you and the company; since the contract serves as the law of the contracting parties.

Henceforth, if the contract between you and the company requires deducting the mentioned sum upon your being late to work, and not adding the overtime as you are a manager, and you have accepted that on signing the contract, then there will be no injustice on the part of the company. No doubt, that is not forbidden by Sharee’ah, since one may give up his rights and volunteer to work without pay if he so wishes.

But if the measure taken by the company is not included in the contract, then that will be injustice and the company has no right to do it; and you may take legal action against it if you wish to claim your rights which were usurped unjustly.

Allah Knows best.

Fatwa answered by: The Fatwa Center at Islamweb

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