Are commissions halaal?

Mu' meneen Brothers and Sisters,

As Salaam Aleikum wa Rahmatullahi wa Barakatuh.  (May Allah's Peace, Mercy and Blessings be upon all of you)

 

One of our brothers/sisters has asked this question:

Dear Brother Burhan,

 

First of all I admire your work and devotion for the sake of Islam and huminity.

 

I have a question that is quite confiusing me and many of us arround me. This is regarding commissioin. I tried to search the related topic from old questions but I could not find the answer from there. Therefore I/we would request you to please answer this question in the first available time as we all are anxiously waiting for this.

The question is that Is commissioin is Haram in Islam? More explaining the question, I will narate my possition.

 

I am working in a non muslim company where they promissed with me years ago when I was employed that they will give a certin ratio of commissioin on the top of my salary. But they did not fulfil the promisses. Anyway, I worked hard and brought new customers. The purchaseres of these companies are taking 10% commissioin from our company on every purchase which our company is giving happily as we are getting business from these companies. Now this 10% is passing through me and I am keeping 5/6 % for me as they are my new customers and were never giving business before this to my company. I am not giving any damage to my company and instead my company is getting more business. Beside this, please note that I am not employed for this kind of Job. I am only employed as sacretary and this is the extra effors I am making to bring customers which my company never giving the benifits to me. So, can I take this % of commissioin. Is it acceptable? Please advise.

 

My second question is also related to the above question. I will explain it with the example. If my boss says me to hire 1 truck for loading company goods. The normal rate that everybody taking is 10$ for a trip. Even anybody search in the market, the rate would not be less than 10$. But with my efforst and serach I found a truck who takes 8$ for a trip. Can I keep this 2$ for me. Is it Hallal for me?

Please answer these question as soon as possible as many of us doing the same prictice arround and we have a doubt about it. In fact we asked these questions from many knowlidgeable people. Some of them says it is ok and no problem as you are doing any damage or loss to yopur company and instead your company is being benifited. Others say that no it is not ok as you are cheating your boss. Please guide us how to act.

 

Once again thanks for your work and devotion.

 

REgards

 

Your brother in Islam

 

(There may be some grammatical and spelling errors in the above statement. The forum does not change anything from questions, comments and statements received from our readers for circulation in confidentiality.)

 

Answer:

 

Are commissions halaal?

In the name of Allah, We praise Him, seek His help and ask for His forgiveness. Whoever Allah guides none can misguide, and whoever He allows to fall astray, none can guide them aright. We bear witness that there is no one (no idol, no person,  no grave, no prophet,  no imam,  no dai,  nobody!) worthy of worship but Allah Alone, and we bear witness that Muhammad(saws) is His slave-servant and the seal of His Messengers.

Allah Says in the Holy Quran Chapter 4 Surah Nisaa verses 29-30:

29      O ye who believe! Eat not up your property among yourselves in vanities: but let there be amongst you traffic and trade by mutual good-will: nor kill (or destroy) yourselves: for verily Allah hath been to you Most Merciful.

30      If any do that in rancor and injustice, soon shall We cast them into the fire: and easy it is for Allah.

 

Your Question: The question is that Is commissioin is Haram in Islam?

Commissions that are procured legally are absolutely halaal in Shariah; but if one disguises theft or dishonesty and tries to call them ‘commissions’, that would be absolutely illegal and forbidden and a grave sin in Islam.

 

Your Statement: I am working in a non muslim company where they promissed with me years ago when I was employed that they will give a certin ratio of commissioin on the top of my salary. But they did not fulfil the promisses. Anyway, I worked hard and brought new customers. The purchaseres of these companies are taking 10% commissioin from our company on every purchase which our company is giving happily as we are getting business from these companies. Now this 10% is passing through me and I am keeping 5/6 % for me as they are my new customers and were never giving business before this to my company. I am not giving any damage to my company and instead my company is getting more business. Beside this, please note that I am not employed for this kind of Job. I am only employed as sacretary and this is the extra effors I am making to bring customers which my company never giving the benifits to me. So, can I take this % of commissioin. Is it acceptable? Please advise.

If you have an agreement and explicit approval of the owners of your company to keep this 5%-6% as your commissions, then the income is absolutely halaal for you.

 

But, if without the knowledge and explicit approval of the owners of the company, you keep this 5%-6% as commissions, then it would not be legal income for you. 

 

One of the ways of determining whether the deal is honest or dishonest, is to simply consult one’s own heart, and the answer will be extremely self evident!  If the owners of the company found out that you were keeping this 5%-6% as commissions, would they treat it as legal income for you, or a fraud and theft against their company? 

 

No matter how much one tries to justify the above transaction in one’s heart, if one feels or knows that the company will treat your keeping the 5%-6% as commissions without their explicit approval as fraud or theft; then this income will be absolutely illegal for you.

 

The only way to make these commissions legal for you is to talk to the responsible managers or owners of the company, and strike a deal with them that on every sales that you will bring in, you will keep the 5%-6% as your commissions.  If they give you their approval to keep these commissions, then and only then, will this income be legal for you.

 

A simple example should make the point clear to you:

Suppose you have an employee or a servant whose salary you pay every month, and you ask him to buy a TV for you. He goes to the store and negotiates the TV from $1,000.00 to $950.00 on his own. Would it be ethical or legal for him to pocket the $50.00 difference, and tell you that the TV was bought at $1,000.00 when he has paid only $950.00 for it???

 

Your Statement: I am working in a non muslim company where they promissed with me years ago when I was employed that they will give a certin ratio of commissioin on the top of my salary. But they did not fulfil the promisses.

What you need to do here is remind the owners of their promise, regardless of whether they are muslim or non-muslim, and demand your rightful commissions as agreed.  Taking the commissions without their explicit approval would be deemed as dishonesty and fraud not only in the sight of Shariah, but even in a court of worldly law.

 

If the owners of company have not fulfilled its promises done to you, or refuses to fulfill the promises they made to you at the time of hiring, then that is something they will have to answer Allah Subhanah on the Day of Judgement. 

 

Whatever written of Truth and benefit is only due to Allah’s Assistance and Guidance, and whatever of error is of me.  Allah Alone Knows Best and He is the Only Source of Strength.

 

Your Brother in Islam,

 

 

Burhan

 

 
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