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INTRODUCTION
Human Resource Management is the process of recruitment / staffing, training,

appraising, and compensating employees, and of attending to their labor relations, safety and
health concerns. This process is to utilize of individuals to achieve organization objectives
(Gomez-mijea, L.barkin, D., Cardy, R., 2012). Islamic HRM practices are able to mitigate this
competition by ensuring Islamic ethics, guidelines and principals in organization (Namazie &
Frame,2007).
Nowadays, implementing an effective human resource management is crucial in the
organization. Many of the issues that have been raised in order to get fair treatment and
satisfaction for all parties in the organization. Islamic HRM suggests that employees are not just
a servant, they are valuable assets, and they should be considered as a source of powerful and
dynamic workforce assets (Beekun, 1997). Indeed, Islamic HRM practices emphases on the
development of employees individual skills, abilities, attitudes and job knowledge to contribute
for accomplishing organizational objectives (Ali, 2005). Islamic HRM believes that individual to
identify his or her strengths and make full use of them. The concept of Islamic HRM aims at
understanding the needs and hopes of employees in a better way. Islamic values are a set of
beliefs and ethics, a social doctrine of all aspects of our existence, moral and physical, spiritual
and intellectual, personal and communal of human life.

1.1)

Source of implementing Islamic human resource management

Islamic human resource practices as performing the major human resource functions in
accordance to main guidelines stated in Al-Quran and Hadith (the sayings and practice
of Prophet Muhammad (peace be upon him). The Quran often refers to honesty and
justice in trade, and it calls for an equitable and fair distribution of wealth in the society.
The Quran encourages human beings to acquire skills and technology, and highly praises
those who strive in order to earn a living. The Human Resource Management related to
Islamic management theory is characterized by the following points:
a. Derived from the Quran and the Sunnah.
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b. The theory is inclusiveness.

c. Based on knowledge, techniques and methods theory.
d. Its the guide of human behavior and human values.
e. Depends on the interaction between theory and practice.
Al-Ali defined in his book (the management in Islam) the most important characteristics
of the human management which based on Quran as follows:
a. Effective management.
b. Management that implement the principles of Shura.
c. Management that give a priority to humans needs.
d. Management with self-observation.
2) RECRUITMENT / STAFFING
Recruitment or know as Staffing is the process by which organizations locate and attract
potential individuals to fill job vacancies. The main objective is to find and hire the most suitable
person to fill job vacancies.
This requirement is stated in the Quran (4:58-59):
God doth command you to render back your trust to those to whom they are due; and
when ye judge between man and man, that ye judge with justice; verily how excellent is the
teaching is the teaching which He giveth you! For God is He who heareth and seeth all
things. O ye who believe! Obey God and the Messenger, and those charged with authority
among you. If ye differ in anything among yourselves, refer it to God and His Messenger if
ye do believe in God and the Last Day: that is the best, and most suitable for final
determination.

2.1)

Fair and wise recruitment / staffing decision process.

Organization need to determine and outlining the job requirements and job incumbent
requirements to ensure the hired candidate is best suited for the job. Islam requires the
person who is in charge of recruitment to be pious and just. According to Ahmad (1995),
the Quranic standard of eligibility for a job is the required merit and competence for it. It
stresses the importance of competence and honesty since without these pre-requisites one
could not be efficient. For example, the Holy Quran states, (28:26)
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Said one of the (damsels): O my (dear) father! Engage him on wages: truly the
best of men for thee to employ is the (man) who is strong and trust worthy.
Fact is, to overlook the needed competence for a job and to select an applicant for any
other considerations are tantamount to dishonest as well as injustice.
2.2)

Job descriptions and specification explaination.

Employer must tell the truth facts include the jobs requirements, the criteria of the job
holders, and the compensation to be paid. Ali (2005) mentioned that the requirement of
job specification and task requirement were practiced during the time of Prophet
Muhammad (P.B.U.H.), in selecting personnel for government positions. As regard to
compensation, the applicants must be informed on the compensation offered.
As reported by Abi Zar al-Gafari, the Prophet Muhammad (P.B.U.H.) said
Whoever believe in God and the Day of Judgment, should not employ a worker
until he or she knows what he or she is going to receive. Prophet Muhammad
(P.B.U.H.) also said Whosoever engages a worker on work should mention the
wages in advances (Ahmad, 1995).

2.3)

Background and information of applicant.

Applicants also need to provide the true information about themselves during fulfill
the application form. Ahmad (1995) asserted that the Quran is strongly opposed to
falsehood. False assertions, unfounded accusation and false testimonies are severely
condemned and strictly prohibited in Islam. The Quran (2:42) says;
And never mix truth with false, nor conceals the truth when ye know (what it is).
The accurate information from both parties is to protect the interests of both parties in
the future.

3) SELECTION
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Selection can be defined as process of choosing the right person for the right job from a
pool of different candidates who applied for a certain job (Gomez-mijea, L.barkin, D., Cardy, R.
2012). The Islamic selection practice aim to select pious workers who possess good personality
or akhlak, sprit of team work or amal jamai, experts (Surah al-Qasas: 26; Sunan al-Bukhari) in
terms of qualifications, skills, experiences, health, intelligence, dedication and committed toward
their tusk is one of the most complicated tasks in any organization. The Quran states, (28:26):
said one of the (damsels): O my (dear) father! Engage him on wages; truly the best of
men for thee to employ is the (man) who is strong and trust worthy.
3.1)

Principles In Islamic Law On Employee Selection

3.1.1) Principle is justice;
According to Syed Agil, Jasin and Pawan (2007), wrote from Ali Ibn Talib;
does not nominate them (officer) an account of favoritism or egoism. These
two attributes reflect injustice and treachery.
Favouritism and nepotism may influence selection decision process.
According to Ahmad (1995) the Quranic standard of eligibility for a job is
the required merit and competence for it. It stresses the importance of
competence and honesty of a job candidate, since without these pre-requisites
one could not be efficient. the Quran states, (28:26):
Said one of the [damsels]: O my [dear] father! Engage him on wages: truly
the best of men for thee to employ is the [man] who is strong and trust
worthy.
During his lifetime, Prophet Muhammad (P.B.U.H.) refused to accept the
request of his close friend, Abu Zarr, who sought to work as a governor, and
told him kindly that Abu Zarr was weak (not suitable for the work), and the
employment process is based on the values of trust and responsibility.

3.1.2) Employee selection criteria.

The individual is not to be appointed based on kinship or blood relationship,
friendship, wealth, age, race, and political power or alike.

3.1.3) Honesty.
Both the applicant and the recruiter have to be honest. Honesty is important to
ensure that the right decisions and judgment are made. Besides that, honesty
can prevent the recruiter from doing any undesired or unlawful actions that
contradict the law or legal conduct.
during his lifetime Prophet Muhammad (P.B.U.H) refused to accept the
request of his close friend, Abu Zarr, who sought to work as a governor, and
told him kindly that Abu Zarr was weak (not suitable for work), and the
employment process is based on the values of trust and responsibility.

3.1.4) Task depend on Employee Capabilities and Skills.

This is because the individual may not be able to perform the assigned job
due to excessive workload or own limitations. Consequently, it may harm him
as well as the organization where he works. the Quran states, (2:233);
No soul shall have a burden laid on it greater than it can bear.
This is because the individual may not be able to perform the assigned job
due to his or her inadequacies.
4) TRAINING AND DEVELOPMENT
Training refers the process of increasing knowledge, skill, attitude, abilities, aptitude, and
potentials of employee for better job performance and accomplishes the organizational goals
(Flippo, 1984). Islamic training and development focuses on purifying ones soul (Tazkiyah
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al-nafs). The Quran encourages human being to acquire knowledge, skills and technology, and
highly praises those who strive in order to earn a living. Mostly, training is the process of
developing qualities in Human Resource that will able them to be more knowledgeable, and
skilled this enable them to be more productive. Allah said (58: 11); are those who know equal to
those who know not? But only they who are endowed with understanding keep this in mind.
Therefore, Muslims are urged to seek knowledge from cradle to grave and it is their obligation to
seek knowledge diligently as well as obtain excellence in performance to serve his/her employer
as well (Hashim, 2008).
Islam proposes training and development to enhance knowledge and skills of workers to
increased levels. The knowledge emphasized in Islam includes the general knowledge that can
improve both faith and religious practices of men. Since, Islam considers work as an essential
element of mans success in his life, it does not only encourage individuals to work, but also
motivates them to seek perfection and excellence in all that they do. In this regard, according to
Al-Marsati (1980), workers should work with full capacity, eagerness, and sincerity to achieve
excellence and success for themselves, as well as for the society, and more importantly for the
life in the Hereafter. Thus, it is an obligation for Muslims to seek knowledge and obtain
excellence in performance. In Islam, the concept of Ihsan (excellence or benevolence), is related
to goodness and is desired by God Almighty. Muslims have the responsibility to perform their
level best to obtain perfection and excellence in worship and all works of life, with the constant
consciousness that God Almighty is watching over all that they do.
Altalib (1991) asserted that in the light of these directives, the Islamic worker and the
Islamic movement obliged themselves to do the right things and do them well. In a nutshell, this
is what Islamic training is all about. Without overlooking these conditions, the Quran states
(13:11): God does not change the condition of people unless they change what is in their heart.
Although the Prophet acknowledged that people are different in their capacities and abilities to
process information, stating, They shall be burdened only with what they can bear; he asserted
that learning lead to development: Knowledge is obtained through studying. The dialectic
relationship among the learned individuals, knowledge, and work is captured in the Prophets
saying, Learned people, knowledge, and work are blessed. When those who have knowledge do
not act upon it, they are not blessed; but work and knowledge are always blessed (Abbas, 2010).
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Islamic training and development practice focuses on purifying ones soul from bad and
evil attributes and to observe good and holy attributes, as the most honoured people in the sight
of Allah SWT. are the most righteous (Surah al-Hujurat: 13). The Islamic principles and values
that need to be emphasized in training are knowledge and deeds (Surah al-Alaq: 3-5),
understanding the wisdom of Allahs Oneness and Greatness and the concept of working as
Allahs vicegerent (Surah Baqarah: 31), teamwork (Surah al-Saff: 4), to give full submission to
Allah (Surah al-Zumar: 14) and to succeed (al-falah), i.e. success in this world and the Hereafter.
This is because being a Muslim consists of two forms spiritual and physical in which the
former is more important than the latter, as it could influence the behaviour of the latter.
Islamic training and development practice also emphasize physical training. For example,
during the Prophets time, the companions were trained with archery and horse riding, while the
women were involved in nursing the injured soldiers and giving food to them (Ngah, 2004).
Thus, the employees in these modern days should be sent to training centers according to their
needs to be more competent in their work. The training has to be conducted regularly (Junaidah,
2008).
Islam encourages its people to upgrade their careers. Islam does not want its people to be
left behind and remain satisfied in one position without striving to enhance their positions in an
organization. In career development, Islam does not discriminate people in terms of color, race,
gender or religion (Surah al-Hujuraat: 13). Thus, once appointed, the employees should undergo
various training programs based on the nature of their jobs and responsibilities to enhance their
capabilities and also to seek Allah SWT.s blessing. And this has to be done in His cause and
with full sincerity. Islamic training and development practice stresses the Islamic values to be
instilled in the employees, the criteria and selection of the trainers and the techniques to be used
in training.
5) PERFORMANCE APPRAISAL
Performance appraisal may be defined as any procedure that involves setting work
standards, assessing the employees actual performance relative to these standards; and providing
feedback to the employee with the aim of motivating that person to eliminate performance
deficiencies or to continue to perform above par (Dessler,1997). If any organization fails to use
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this instrument effectively and with fairness, there might arise serious frustration among
employees. Many performance appraisals use subjective types of evaluative questions. Such a
poor design may lead to unfair evaluation. A biased appraisal on the part of a HR manager may
lead to unfair treatment of some employees and to the dismissal in some cases and undue
promotion in others. Clearly, this violates the ethical principles of justice and fairness (Al-Adl),
and peoples right (Haquq-al-Ibad) and hence unacceptable in Islam.
Prophet (PBUH) had made it obligatory that employees make their work perfect they
should be held responsible for their actions and not for others faults. Muslim employees are
expected to indulge in self-appraisal, as Allah (SWT) says: Nay, man will be evidence against
himself (Quran: 75:14). Performance appraisal is installed to reward efforts of employees. Good
performance and sincere efforts should be rewarded or at least recognized even if they fall short
of the expectations (Ahmad, 2007; Hashim, 2010). The above verses from the Quran further
commands that a person is answerable to her/his-self in this world in terms of his/her selfrespect, in the next in terms of right or wrong before Allah (SWT).
Islam enjoins rewarding efficiency, establishing an appraisal system that treats all
employees fairly without any bias, and avoiding unethical practice of subjective appraisal (Khan,
Farooq, & Hussain, 2010). Improper performance appraisal may result in causing frustration
among employees and lead to less productivity. Contrarily, proper appraisal and reward system
boosts employee morale and leads to higher productivity.
6) COMPENSATION AND WAGES
It is the responsibility of any organization to compensate its employees with appropriate
remuneration. An ethical problem may arise when undue labor exploitation takes place to make
unpaid gains. It may also arise through favoritism in pay and promotion. Islamic system requires
a humanity or brotherhood element in the fixation of compensation. An organization should
arrange a compensation for its employees that lets them meet their basic needs in a standard of
living that is comparable with the employer, subject to the maximum of the employees
contribution in output. This required by the Islamic principles of ethics, namely, brotherhood and
benevolence (Al- Ukkuah and Al-Ihsan) and fair compensation (Ai-Ujarah). Besides, there may
arise an issue of favoritism in pay and promotion. This will involve undue favor to some by
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violating the right of others. This goes against the Islamic principles related to people s right
(Huquq-al-Ibad) and justice and fairness (Al- Adl) and hence unacceptable (Sadeq, Khaliq,
2001).
Islam has laid special emphasis on compensation. According to Ali (2010), in early years
of Islamic state, compensation was governed by; fulfilment of contract between employer and
employee; differential in wages according to the level of competency and situation of employee;
fixation of wages in advance and immediate payment after completion of work; increment in
wages according to circumstances, and; sufficiency of wages to fulfil employees living needs,
minimum wages system. Islam disdains favoritism in setting compensation and wages, and
exploitation of labor, particularly in labor abundant markets. Compensation should be fair to both
employers and employees (Ali, 2005; Ahmad, 2007; Hashim, 2010), and compensate workers
fairly for their work in such a way that they meet their basic needs and attain desirable living
standards (Khan, Farooq, & Hussain, 2010).
According to Hashim (2010), it is incumbent on the employer to inform employees about
compensation and wages. Prophet (PBUH) said, Whosoever engages a worker on work should
mention the wages in advance. Caliphs Abu Bakar and Ali adopted equity principal in wages,
while Caliph Omar paid differential wages, determined by seniority in the adoption of faith
Caliph Omar set wages according to hardship, living standard in region, nature of task, and
needs of subordinates (Ali, 2010).

7) CONCLUSION
Human Resource is the engine of growth that puts all other resources into action and gets
things done including business and economic activities. It is, therefore, important to manage the
human resources as efficiently as possible in which plays an important role. If HR is not dealt
with in a right and ethical manner, the work efforts will be affected adversely, which will, in turn,
affect the overall performance of the enterprise. World religions present many good and universal
values that are often common across belief systems. This would probably be true in most of the
Islamic principles of ethics in Human Resource Management (HRM) to. The essence of the
Islamic principles, which have been discussed in this paper, is justice and fairness to all
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concerned, i.e., the employees, employers and the organization, in order to produce a healthy,
conducive and satisfying work environment, leading to optimum performance in all organization.
Further, HRM based on Islamic principles ensures realization of maximum benefits from
the most valuable resource held by organizations, the human resources. Contrarily, HRM
practices in most of the organization in Muslim countries, except Muslim organizations in
Malaysia, are based on the Western system and are influenced mostly by pre-Islamic local
cultural values and norms. HRM practices in Muslim countries suffer from the evils of
discrimination on the bases of personal relationship, kinship, political affiliations, country of
origin, etc. Such practices are not only in line with Islamic values and principles also hamper the
growth of businesses and societies.
Islamic HRM if adopted in letter and spirit will not only eradicate such evils from the
system but also solve other existing corporate problems, like conflict of interest between
managers and owners (agency problem). The managers aware of accountability of all their
actions to Allah (SWT) will not breach the trust of their employers, and indulge in cheating,
misappropriation, or misuse of resources. They will always give interest of employer precedence
over their personal interests, and work in the best interest of the organization. Employers with
similar sense of responsibility will not try to exploit the workers. The fair dealing between
employers and employees paves way for the prosperity of individuals, organizations and the
society at large.

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