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Error in Retrenchment Package

Answered as per Hanafi Fiqh by Askmufti.co.za

Q: My company offered me a voluntary retrenchment packages last year. To calculate our packages they used the number of years worked at the company. With me it was complicated as I was seconded/ temporarily transferred there not permanent initially. I only went permanent a year later at that company. So when they asked us to verify our details I did notify them by email of the correct permanent date and explained why it was the later date. I noticed in my package that they used the 1st date and the person who was supposed to update the database did not do so. Things happened quickly and I was paid within 15 days. My conscience is suffering: is this additional money I received halaal/haraam/makrooh/mustahab, etc?

A. You should inform your company of their error. If after informing them they allow you to keep the extra payment, it will be permissible and Halaal for you. But if they ask you to return a certain portion, it will be necessary to do so.

And Allah Ta’aala knows best

It is indeed a great gesture from your side, and a sign of good iemaan that you decided to seek a fatwa on this matter, at a time when others would simply remained silent and kept the extra money paid out to them erroneously. Allah Ta’aala reward you for your honesty, Aameen.

Mufti Siraj Desai

This answer was collected from AskMufti.co.za, which is operated under the supervision of Mufti Siraj Desai of Darul-Uloom Abubakr, South Africa.

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