Receiving a commission over and above one's fixed salary
Q: Is it halaal or haraam to accept a fixed salary and get performance related pay e.g. commission, bonus on good performance or to provide for a good services. Is it permissible for an employee and employer also?
A: In order for the employment to be valid in shariah, it is compulsory upon the employer and employee to stipulate and fix the wage of the employee. The wage could be determined through work or through time (e.g. R50 an hour, or for working from 8am to 5pm, you will receive a salary of R200, or for a certain amount of work you do, you will be paid R100). The salary can be worked out weekly or monthly as well (e.g. for the week, you will receive R1500, or for the month you will receive R5000, and your work hours are from 8am to 5pm).
Overall, there should not be any type of uncertainty or ambiguity in the contract which will lead to quarrels and disputes taking place between the employer and employee.
If the employer wishes to give the employee an incentive to work harder and pay him extra over and above his fixed wage/salary based on his performance, then this is also permissible.
And Allah Ta'ala (الله تعالى) knows best.
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