Shariah Guidelines for Productive Piece-Rate Wage

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Mohammedi Khelifa


This paper aims to introduce a contemporary piece-rate wage system rooted in Islamic principles, specifically in the realm of Islamic financial jurisprudence. Its central objective is to assess the compatibility of the system with Islamic (Sharia) guidelines and identify areas that require further scrutiny and, if necessary, exclusion. The study employs the inductive method to discern the most commonly used formulas in the piece-rate production system, a ubiquitous feature of modern economic landscapes. Adopting a descriptive approach, the research expounds upon the distinctive attributes intrinsic to each production formula to foster a comprehensive comprehension thereof. Employing analytical and critical methodologies and drawing upon the perspectives proffered by economic theorists and scholars, the study critically examines the merits and prerequisites of the piece-rate wage system while exposing its unfavorable aspects that warrant discerning evaluation and potential exclusion. Building upon this analysis, the study formulates Islamic Sharia guidelines that regulate the selected piece-rate wage system to ensure its compliance with Islamic financial transactions and contemporary economic demands.

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