Question Summary:
If the company suffers a loss because of a mistake of an employee is that employee liable for the loss?

Question Detail:

I work for a travel agency whereby we issue tickets for independent agents. One of the agents committed fraud by providing us with fake authorisation codes to process transactions on her credit card. Although company policy is that we dont accept authorisations from agents, I processed the transactions as I was under pressure and thought the agent was trustworthy. Subsequently I found out that 3 of my colleagues also made a the same mistake independently . This is as a result of time constraints and extreme pressure under which we work. A few months later the airline billed our company for the very same transactions because the bank would not honour the same authorization codes.
 
The company is apparently trying to recover the money from the agent. She has an agreement with the company to pay a certain amount each month, The company is not keeping us informed about payments made or any matter regarding the situation. In the meantime the company is holding us individuals responsible even though we made a mistake. We are not sure whether the company is doing everything in its power, legally or otherwise to recover the funds.
I am currently being held liable for R70 000. Even though legally the company has no grounds against me as there is no clause in my contract about this, what would be the Islamic ruling in a case like this? Whether I continued to work there or resign?

Answer :

In the Name of Allah, the Most Gracious, the Most Merciful.
As-salāmu ‘alaykum wa-rahmatullāhi wa-barakātuh.
 
If an individual enters into employment with a company, according to Shariah, he is considered as an Ajeer-e-khaas (absolute employee)[1]. If an employee makes a mistake because of which the company suffers a loss, the employee will not be held liable for the loss suffered by the company, on condition that it was not due to negligence of the employee[2]. However, if a mistake was made by an employee due to negligence, then he will be held liable for the loss his company has incurred because of his mistake.[3]
In the circumstance you have stated, it is clear that the company has incurred a loss due to your negligence. The company policy is that it does not accept authorisations from agents, in spite of knowing this you violated it by trusting an agent. The reason you have stated that the mistake was made due to stressful working conditions is not a valid excuse. According to Shariah you and your friend will be held liable for the loss incurred by the company.
Therefore, even if you decide to resign according to Shariah the debt still is upon you, despite there being no legal grounds. The company has the right to cover the loss from your salary in the event of your resignation, the excess of the debt will still be upon you.
You may then claim the money from the defrauding agent. If the company received payments from the defrauding agent, you have a right to the details of such payments.
 
And Allah Ta’āla Knows Best
Saleem Ibn Sajawal Khan
Bradford, UK
Student Darul Iftaa

Checked and Approved by,
Mufti Ebrahim Desai.