Government Employees Pension fund

Q: Is it permissible to work for the Government Employees Pension fund? (GEPF) It is a requirement for all government workers to be part of the fund. Revenue is earned by contributions made. Contributions are made partly by the employee, and partly the department who acts as the employer.

A: Our understanding of pension funds is that it is a combination of interest and a game of chance according to the Shari`ah. Hence, working for the fund will be like working for an institute which operates with gambling and interest. Just as gambling is impermissible, similarly working for an institute whose main business is gambling will also be impermissible. 

يَا أَيُّهَا الَّذِينَ آمَنُوا إِنَّمَا الْخَمْرُ وَالْمَيْسِرُ وَالْأَنصَابُ وَالْأَزْلَامُ رِجْسٌ مِّنْ عَمَلِ الشَّيْطَانِ فَاجْتَنِبُوهُ لَعَلَّكُمْ تُفْلِحُونَ ﴿٩٠﴾ إِنَّمَا يُرِيدُ الشَّيْطَانُ أَن يُوقِعَ بَيْنَكُمُ الْعَدَاوَةَ وَالْبَغْضَاءَ فِي الْخَمْرِ وَالْمَيْسِرِ وَيَصُدَّكُمْ عَن ذِكْرِ اللَّـهِ وَعَنِ الصَّلَاةِ ۖ فَهَلْ أَنتُم مُّنتَهُونَ ﴿المائدة٩١﴾

Answered by:

Mufti Ebrahim Salejee (Isipingo Beach)